Broadband and telecommunications company Verizon has entered into multi-year partnership with Vice to bring the youth-oriented media company’s content to its “mobile-first” over-the-top video platform, which is scheduled to launch later this year.
It comes on the heels of last month’s announcement that Verizon had struck a deal with Scripps Networks Interactive to bring content from the company’s roster of lifestyle channels — including Food Network, HGTV, Travel Channel, DIY Network, and Cooking Channel — to the service. Earlier, it made similar deals with ESPN, CBS Sports, 120 Sports and AwesomenessTV. Verizon will also be able to source content (as well as ad tech) from AOL, which it which acquired for $4.4 billion in May.
Last month, market research firm eMarketer predicted that mobile video ad spend will climb to $2.62 billion in 2015, accounting for more than one-third of the estimated $7.7 billion advertisers are expected to spend on digital video ads this year.
“Mobile is key to the emerging brave new world of video distribution, and with deals like this we are making sure we are staying at the bleeding edge of innovation in that space,” said Vice co-president James Schwab in a statement.
Launched in Montreal as a punk magazine in 1994, Vice has evolved into a multi-platform media company operating in over 30 countries. Based in New York City, it has an international network of digital channels, a record label, an in-house creative services agency, and a book-publishing division. Last October, the company announced a $100 million joint venture with Rogers Communications to launch a Toronto-based multimedia production facility and 24-hour news channel, dedicated to producing content targeting young Canadians.