Video hosting platform Vimeo is expanding its distribution capabilities with the acquisition of over-top-top (OTT) subscription platform VHX, announced today, bolstering its position as a competitor straddling the Netflix and YouTube ecosystems.
The terms of the deal were not disclosed. VHX co-Founder and CEO Jamie Wilkinson will report to Vimeo CEO Kerry Trainor.
“Online video is expanding from a few, mainstream subscription services into a flourishing world of interest-based streaming channels, much like the evolution from broadcast to cable television,” said Trainor in a statement. “Vimeo is home to the world’s leading video creators and the viewers who love them, and we’re excited to add VHX’s team and technology to our streaming marketplace. As the video universe continues to unbundle, Vimeo offers the ideal home for the next generation of premium video channels serving passionate global audiences.”
Vimeo has been steadily expanding its original content offerings in recent months with initiatives for female and LGBT filmmakers, comedy specials (“Premature,” starring Elliot Morgan, “Miranda Sings: Self-Help”), original series “High Maintenance” and “Con Man,” starring Alan Tudyk and Nathan Fillion, and programming from YouTube creators such as Taryn Southern, Kev Jumba, Joey Graceffa, Our2ndLife, Sawyer Hartman (“Parallax”) and PJ Ligouri (“Oscar’s Hotel for Fantastical Creatures”), the latter two through a deal with New Form Digital.
According to Vimeo, with the addition of VHX, it now offers “a complete streaming ecosystem for individual creators, niche programmers and major media partners to offer subscription video on demand (SVOD) channels” that reaches its “global ecosystem of over 280M monthly users,” with low start-up costs and “best-in-industry revenue share” (90% of gross revenue after transaction costs. It also gives users the ability to rapidly launch or migrate SVOD channels in 4K adaptive streaming across mobile, web and TV apps, with DRM.
VHX co-Founder and CEO Jamie Wilkinson will report to Vimeo CEO Kerry Trainor.