Brightcove has signed a definitive agreement to acquire the online video platform (OVP) business belonging to Ooyala.
Brightcove is acquiring Ooyala’s OVP technology, including video content management and publishing platform Backlot, Analytics, Live, and its underlying IP and associated patents. As part of the deal, Brightcove will acquire substantial portions of Ooyala’s engineering, support, and sales staff, including the company’s Guadalajara, Mexico operations.
Brightcove said it disclosed the price in its earnings call — approximately $15 million, consisting of $6.25 million in cash and the rest in Brightcove shares.
“Ooyala has tremendous global customers who understand the power of video and its ability to transform business and reach new customers,” said Brightcove CEO Jeff Ray. “This transaction, which includes immediately growing our highly skilled and committed global workforce, accelerates our ability to deliver faster innovation and deeper support for all customers. We look forward to welcoming Ooyala’s OVP customers and ensuring a smooth transition and a world-class experience for them.”
It’s only 4 months since Ooyala’s management completed its buyout of the cloud-based TV and video platform from Australian telco Telstra.
“We hold our customers’ success as paramount. Selecting Brightcove further demonstrates this commitment and ensures they will receive a world-class experience,” said Jonathan Huberman, CEO of Ooyala. “Brightcove is doing amazing things in the OVP market, and we are pleased our customers will work directly with the market leader.”
The transaction is expected to close in the first half of 2019.
