AOL Europe has acquired video distribution network goviral, as the internet media company further expands its ad-funded content services.
goviral distributes branded video content across the Internet for brands, media agencies, creative agencies, and content producers.
AOL is hoping the purchase will boost its video offerings in Europe and ultimately North America.
AOL completed the purchase of goviral for $74.1m with an additional $22.6m consideration deferred and paid over two years following completion.
As a part of AOL Europe, goviral will help distribute both branded video content and premium digital content from across the entire AOL network of content sites from MyDaily and Eleven to AOL Music and Fanhouse UK.
goviral is set to join other strategic acquisitions made by AOL in 2010 including StudioNow, 5min Media , TechCrunch, Thing Labs, Pictela and most recently, about.me .
“Video is core to AOL’s consumer programming strategy and goviral has created an incredibly compelling platform that delivers highly measureable and cost effective solutions to publishers and advertisers,” said Kate Burns, SVP, AOL Europe. “We believe that goviral offers a unique proposition in today’s market, and allows us to match our ambition for premium content creation and engaging advertising, with highly targeted distribution at scale. We look forward to welcoming this truly talented and innovative team.”
goviral will retain its offices in the UK, Germany, France, Denmark, Sweden and Spain – and further global expansion is planned.
goviral’s current video content distribution network includes more than 18,000 publishers1. across 24 verticals, allowing its clients to reach well over 350 million global Internet users and generate more than 60 million video views monthly.
Specialising in the distribution of viewer-activated videos it has delivered unique campaigns for brands including: Nike, LG, Unilever, Paramount, Nokia, Hyundai/Kia, Audi, Nintendo and Gucci.
“We’re excited to be joining AOL, a company with vision, that truly understands the shifting dynamics of the Internet. AOL has made a clear commitment to deliver great original content, and with their strong US position, it is a great accelerator for us to grow internationally and realize the potential of video,” said René Rechtman, CEO, goviral.
“We simply believe and have experienced that good content is a key driver to reach and engage audiences globally. Working with a strong global brand such as AOL we are able to bridge the best of both worlds; scale and quality content that has relevance and resonance for users, advertisers and publishers.”
AOL UK is growing its content using more than 100 journalists and celebrity contributors, and has seen its UK unique viewers rise by more than 6% during the final quarter of 2010.
In the second half of 2010 alone, AOL has closed deals with more than 20 premium content partners and digital studios to deliver a mix of high quality programming to AOL’s audiences around the world. Within that mix, AOL has announced several new video franchises not seen anywhere else on the Web, including partnerships with Endemol.