Telstra admits defeat on Ooyala, which completes management buyout

Transaction provides the foundation for the next phase of growth for Ooyala

Author:

Heather McLeanPublish date:

Oct 16, 2018

Telstra has given up on its attempt to challenge YouTube with its acquisition of Ooyala, allowing the company to complete a management buyout.

Today, Ooyala and Telstra have announced the completion of the management buyout of Ooyala. Building on the success of Ooyala under the current management team, combined with Telstra's new focus on its Telstra2022 strategy, this transaction provides the foundation for the next phase of growth for Ooyala. Telstra will remain a valued go-to-market partner and customer.

Telstra bought the video streaming company in two stages in 2012 and 2014 for over $500 million, calling the company's technology comparable to the next YouTube . However, earlier this year it wrote off the remaining $273 million of the investment, valuing Ooyala at zero.

However, Ooyala's management team looks forward to continuing its world-class support of its customers around the globe. With Ooyala Flex Media Platform underpinning its suite of video streaming and media logistics solutions, Ooyala powers the content supply chain of many of the biggest names in media, entertainment, telecommunications, enterprise, broadcast, and sports the world over. The company's customers include: Audi, Chelsea FC, Dell, National Rugby League of Australia, PGA, Starhub, Sky Sports, Turner and Telstra.

Led by existing management and powered by a talented and energised team of employees, Ooyala expects continued revenue growth fuelled by the market adoption of Ooyala Flex Media Platform and its key capabilities focused on cross-device playback and monetisation, TV-grade live streaming, MAM-based content management, and insights driven content creation.

On the back of a powerful workflow engine, shared metadata infrastructure, and an extensive partner ecosystem, the Ooyala Flex Media Platform enables partners and customers to connect and orchestrate the entire content supply chain. Whether the focus is on content creation, distribution, or monetisation, Ooyala Flex Media Platform saves its customers time and money while providing the ability to create new sources of revenue.

The management team is excited to take on this next chapter in Ooyala's growth, said Jonathan Huberman, CEO of Ooyala. We are pleased by the tremendous market reception of our flagship product, Ooyala Flex Media Platform, and how it has enabled our OVP and media logistics customers to drive supply chain efficiencies and revenue growth through automation and AI-driven insights. We will continue to invest in Ooyala Flex Media Platform to increase our market-leading position in video streaming and media logistics. In addition, leveraging our resources and in partnership with private equity investors, we are actively exploring acquisition opportunities to further accelerate Ooyala's growth.

LINK:	https://www.tvbeurope.com/business/telstra-admits-defeat-on-ooyala-whi...
	See more stories from tvb

Most recent headlines