After a failed attempt of launching an SVOD service, Vimeo has decided to give the livestreaming business a shot. The IAC-owned company has acquired Livestream, a livestreaming video platform, and plans to launch its own real time streaming service dubbed Vimeo Live. Now users can capture, edit, stream and archive their live events in addition to hosting, distributing, and generating revenue from their videos.
The deal is expected to close early in the fourth quarter. Terms of the acquisition were not disclosed.
“Live video contributes to our goal of offering an end-to-end solution across a creator’s entire video workflow, from broadcasting live events to archiving and hosting videos, to distributing and monetizing them anywhere,” said Vimeo CEO Anjali Sud.
As part of the acquisition, Livestream co-founder and CEO Mark Kornfilt will report to Vimeo CEO Anjali Sud as General Manager of Live. His new focus will be on growing Vimeo’s combined live offering and to integrate Livestream’s capabilities into Vimeo.
Why it matters?
The push into live video is a much more plausible move for the company compared to its recent rendezvous into subscription video where it had to compete with Netflix, Amazon, Hulu – all whom are spending billions on content. Additionally, the site is already geared toward selling tools and services to professional and semi-professional video creators, as upgrades to its basic and free plan, which means its new live video offer will fit neatly into the package. With the addition of Livestream’s technology, creators can now branch into hosting live events, making Vimeo a much more enticing destination, especially considering the format’s continued rise in popularity.