By Evan DeSimone
If you’re a web tech giant in 2015, then chances is a streaming video platform of one kind or another is on your shopping list. The institutions of web 1.0 have been increasingly drawn to the dawning potential of online video which explains why Cisco Systems has announced places to buy OTT video provider 1 Mainstream.
The terms of the deal were not disclosed, but the Cupertino-based 1 Mainstream has already raised more $5 million in funding from its client Sky and an additional $3 million from venture firms like CM Ventures, Menlo Ventures and Luminari Capital.
The acquisition will allow Cisco to offer clients a fast track to connected TV content distribution. 1 Mainstream offers customers a streamlined way of building their own customized streaming OTT distribution applicatons on platforms like Apple TV, Roku, Amazon Fire TV, Google Chromecast and Microsoft Xbox. It’s a service the company has already provided for clients including Sky, CBS News, Foxtel, and Tastemade. Now, the company’s technology and personnel will be folded into Cisco’s Service Provider Video Software and Solutions Engineering Group.
As demand for streaming video in all forms grows among consumers, so too does demand among broadcasters for streamlined OTT solutions. Last month, E-Commerce giant Amazon spent $500 million to acquire Elemental Technologies whose VOD software is used by BBC’s iPlayer, CNNGo, ESPN ScoreCenter, HBO GO, MSNBC Shift and Sky Go and Sky Now. Without seeking acquisition video tech providers like Kaltura have raised millions to expand their operations and develop new technology.
The deal, announced today by Cisco Systems, won’t be finalized until the end of the quarter.