Warner Bros. is in discussions to buy Machinima, a multichannel network primarily focused on gaming, for less than $100 million, The Information reported Wednesday.
According to the report, Warner had an option to buy Machinima at twice its annual revenue, which was estimated at $75 million. The reported deal price would fall far short of that number.
Warner Bros. declined to comment on the report.
The studio has been an investor in Machinima, primarily a network of YouTube channels that mainly show video game-related content. The company has raised $92 million since inception and was once valued at more than $250 million. But in recent years, as the video ad market dipped, Machinima has gone through layoffs and changes at the top.
In March 2014, co-founder Allan DeBevoise left his post at CEO and was replaced by Chad Gutstein. The following, Machinima laid off 13 of its 90 employees one day after getting $24 million in financing from Warner Bros.
In addition to its financial contribution, Warner has also been a content partner with Machinima, working on original series such as “Mortal Kombat: Legacy,” based on the 1990s video game and exclusively shown on the Machinima YouTube channel.
The two also joined forces on two seasons of a “Justice League” series, based on Warner’s DC Entertainment characters.
China’s Le Eco, parent company of L.A.-based Le Vision Pictures, announced Machinima would be one of its content partners as it prepares to launch a line of smart electronics in the U.S. market
Meet The Coolest YouTube Stars at VidCon (Videos)
Over the past six years, VidCon has exploded from a simple gathering of video bloggers to an international gathering of the biggest Internet stars imaginable. The show serves as both a trade expo for people in the industry and a chance for fans to come face to face with the people behind their favorite YouTube channels. From gamers to comedians to animators and beyond, here are some of the biggest stars at this event.
Tyler Oakley has become the gold standard among bloggers, racking up over 8 million subscribers with videos of him and his friends doing silly things together on camera. He's also become one of YouTube's leading LGBTQ activists, throwing his support behind the Trevor Project and recently posting a video discussing the Orlando shooting and how the LGBTQ community can move forward.
Mark "Markiplier" Fischbach rose to prominence with his Let's Play videos, cracking jokes in front of a camera while playing PC games. His biggest claim to fame is are his playthroughs of the "Five Nights At Freddy's" series, which left fans rolling with laughter thanks to his panicky attempts to beat each game.
Anita Sarkeesian's "Feminist Frequency" has become one of the most polarizing series on YouTube, analyzing gender stereotypes in video games and critiquing the treatment of women in video games and the culture surrounding them.
Born in Ontario to Indian immigrants, Lilly Singh turned her family into the inspiration for a series of blogs featuring caricatures of typical Indian parents. In February 2016, she released a documentary called "A Trip To Unicorn Island," documenting the world tour that her YouTube success spawned.
If there's anything comedian Mamrie Hart loves, it's a good cocktail. That's why she started the YouTube series, "You Deserve A Drink," where she gives her viewers the funniest mixology class you could ever imagine.
While YouTube has becoming predominantly live-action, there are still some animators making a name for themselves. One of the most famous is Jonathan Picking, a.k.a. Mr. Weebl, who created beloved classics like "Magical Trevor" and "Breadfish."
Henry Reich is the creator of the MinutePhysics YouTube channel, which has become one of the most popular science shows online. Using simple animations, MinutePhysics explains the most well-known concepts in physics and answers weird viewers questions, like how long it would take to fall through the Earth.
There might not be a YouTube Channel more painful for its stars than Hot Pepper Gaming. The show channels YouTube gaming stars to review the newest video game releases...after taking a bite out of a habanero pepper. Sometimes the habaneros get swapped out for something even worse, leaving the reviewers struggling to talk about gameplay and frame rates.
Simultaneously delicious and nauseating, Epic Meal Time is dedicated to cooking up massive meals with a calorie count deep into the five-digit amounts. Take this Chinese Food burger, loaded with chow mein, a patty stuffed with stir fry, and giant egg roll buns.
Trick shots with basketballs are popular on YouTube, but Brodie Smith is doing trick shots of a different kind. Smith is a professional Ultimate Frisbee player, and he's become a YouTube star with his insane Frisbee tricks on both land and sea.
Kristen Sarah is the host of "Hopscotch The Globe," a travel series that has taken her from Finland to Fiji. When she's not planning epic road trips, she makes videos providing travel tips and a guide to fashion inspired by her adventures.
The creators of VidCon, Hank and John Green, have a YouTube history of their own. The two have produced multiple YouTube shows, the most successful of which is the educational show "Crash Course." The show has attracted millions of viewers with its spin on history and science, and has gained the attention of PBS.
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YouTube stars are gathering at VidCon to talk about globe-trotting, epic meal-making, and Let’s Playing
Over the past six years, VidCon has exploded from a simple gathering of video bloggers to an international gathering of the biggest Internet stars imaginable. The show serves as both a trade expo for people in the industry and a chance for fans to come face to face with the people behind their favorite YouTube channels. From gamers to comedians to animators and beyond, here are some of the biggest stars at this event.
