It has been confirmed that Disney is acquiring Maker Studios, a top YouTube multichannel network, for $500 million, with a performance-based earn-out of up to $450 million. The deal is expected to provide Disney with insight into new patterns of discovery and interaction regarding short-form online videos, especially among millennials. Maker Studios was founded in 2009. The network generates more than 5.5 billion monthly video views from its 380 million subscribers. Continue reading Disney to Acquire Popular YouTube Network Maker Studios

Blogging site Tumblr, purchased last year by Yahoo for $1.1 billion, has announced its first TV ad partnership. The deal is with Viacom, which plans to pitch cobranded campaigns on Tumblr to marketers tied to programming for cable networks including CMT, Comedy Central, MTV, Nickelodeon, Spike, TV Land and VH1. Viacom will offer campaigns to marketers during the 2014 upfront season that will combine Tumblr’s ad products with content developed by Viacom. Continue reading Tumblr Ad Deal with Viacom to Launch with MTV Movie Awards

In January, PC maker Lenovo announced it would expand its mobile efforts with the proposed acquisition of Google’s Motorola Mobility for $2.9 billion. Now the Chinese company plans to spend $100 million on patents related to 3G and 4G tech from U.S.-based Unwired Planet. Already one of the biggest smartphone vendors in China, Lenovo plans to use the 21 patent families from Unwired Planet to grow its smartphone and mobile business in new markets. Continue reading Lenovo Expands its Mobile Patent Assets with New Purchases

In a blog post yesterday, Netflix CEO Reed Hastings said that broadband providers should be required to connect their networks to major content providers (including Netflix) free of charge. Hastings issued a call for new rules that would prevent broadband providers like Comcast from charging content companies fees to connect directly to their networks (a practice referred to as “paid interconnection” or “paid peering”). Netflix recently struck such a deal with Comcast to improve its video service for subscribers. Continue reading Netflix CEO: Broadband Companies Should Interconnect for Free

Twitter rolled out a new platform this week for hosting video that provides iPhone and Android smartphone users with image previews of video clips in their feeds. “In-line video” allows users to play the clips with a simple click. The company has been working with TV networks and video producers over the past year to make watching video clips — such as sports highlights and show previews — easier for Twitter users. The new feature marks the biggest change to tweets since the automatic preview of photos was introduced. Continue reading Twitter Introduces In-Line Video to Make Watching Clips Easier

Prime Focus Technologies (PFT) has agreed to acquire DAX in a deal valued at nearly $12.5 million. PFT is known for CLEAR, its cloud-based content and workflow management platform, while Culver City-based DAX develops media asset management applications and cloud-based production software, including the Emmy-winning Digital Dailies. DAX is actively engaged in the ETC’s Cloud Project, sharing both expertise and development resources. Continue reading Prime Focus Technologies to Acquire DAX in $12.5 Million Deal

Insiders say that Amazon is hoping to introduce an on-demand music-streaming service for its growing number of Amazon Prime customers. While the company has negotiated with record companies and music publishers in regards to licensing, financial terms are said to remain an obstacle. The music service is expected to be one of several new possible features the company may bundle with Prime as it raises the annual membership fee from $79 to as much as $119. Amazon already announced a $20 increase to take effect in April. Continue reading Amazon Prime Bumped to $99, Retailer Considers Music Service

Digital magazine platform Flipboard has acquired rival app Zite from CNN for an undisclosed amount. Flipboard, a popular cross-platform news reader app, is expected to launch custom magazines linked to a number of CNN shows. It also announced a new advertising partnership with CNN to help monetize combined coverage. CNN bought Zite in 2011 for a rumored $20 million. Flipboard, which generates 2.5 billion page views per month, launched on iOS in 2010 and landed on Android in 2012. Continue reading News Reader Flipboard Strikes Deal with CNN to Acquire Zite

Disney has signed a multiyear deal with Shanghai Media Group that will have writers in the U.S. collaborate with Chinese writers and filmmakers to develop Disney-branded movies that incorporate Chinese themes. The partnership will also expand training opportunities between the creative teams of both countries. Meanwhile, film producer Robert Simonds is forming a new movie studio that intends to meet the growing needs of China and self-distribute the types of films that have been displaced by summer blockbusters. Continue reading Disney Teams with Shanghai Media, Producer Forms New Studio

Great Britain struck a major deal with Germany at the CeBIT 2014 trade fair to co-develop a 5G Internet service fast enough to download a movie in less than a second. German and British universities will work together on the project. Speaking at the tech summit in Hannover, Germany, British Prime Minister David Cameron said that his country risks being left behind if it does not develop ultra-fast broadband. He also announced a major investment in a grant fund and research and development for the Internet of Things. Continue reading CeBIT 2014: Germany and Britain Plan to Develop 5G Broadband

Social photo- and video-sharing site Instagram has signed its first major advertising deal with an agency. Instagram is launching a paid ad program with Omnicom Media Group, which agreed to a year-long commitment of up to $100 million that will deliver ads from brands tied to Omnicom’s media and creative agencies. Instagram, which launched in October 2010, was acquired by Facebook in 2012. Today, Instagram says its 150 million active users upload 55 million photos daily. Continue reading Instagram Flexes its Muscles with E-Commerce and New Ad Deal

Following this week’s news of a first-of-its kind licensing agreement between Disney and the Dish Network, DirecTV said it is in similar talks to license the rights to offer Disney channels as part of an Internet-based product. The rights are part of a larger programming deal that would replace a current agreement slated to expire in December. In related news, Verizon CEO Lowell McAdam said he expects to reach a streaming deal with Netflix and hopes to partner with content providers for a broadband-only video service. Continue reading DirecTV in Talks with Disney for New Licensing Agreement

During a keynote at the Mobile World Congress in Barcelona this week, WhatsApp CEO Jan Koum announced that the mobile messaging service would start to offer voice calls. The move could help justify the massive $19 billion price tag of the recent Facebook deal. While the marketplace for Internet phone services is already crowded, WhatsApp could become competitive since it is now backed by social giant Facebook. The voice service is planned to launch in April. Continue reading WhatsApp Announces New Voice Service After Facebook Deal

Rovi announced that it is purchasing video discovery and voice search startup Veveo and the company’s IP for $62 million in cash and up to an additional $7 million based on performance milestones. The acquisition of Veveo’s technology is expected to bring new voice search capability to Rovi’s video discovery platform. Veveo uses natural language processing combined with semantic tech to integrate intuitive search and recommendation features into video discovery applications. Continue reading Rovi Pays $69 Million to Acquire Voice Search Startup Veveo

In a landmark deal that could potentially serve as precedent for future Netflix agreements with broadband providers, the video streaming service has agreed to pay Comcast to guarantee that movies and TV shows stream smoothly to the cable provider’s customers via Netflix. In exchange, Netflix will have direct access to the broadband network. The pact comes 10 days after Comcast agreed to buy Time Warner Cable, which, if approved, will lead to Comcast providing broadband services to about 32 million households. Continue reading Standoff Ends: Netflix to Pay Comcast for Improved Streaming