Nas and Universal Music Group received a significant return on their investment in Pluto TV.
Several years ago Nas and Universal Music Group (UMG) invested in Pluto TV and then in a startup company.
Since then, Pluto has become an advertising platform. The company broadcasts over 100 channels along with thousands of hours of content on demand. This covers TV and movies, sports, news, lifestyle, comedy, cartoons, games and digital series.
Pluto TV also offers programs from more than 130 media networking partnerships, large film and TV studios, and a wide range of digital content producers.
Among the other early investors are the American venture partners and third wave capital.
Now Nas and UMG have earned a serious return on their early investments in the platform funded by advertising.
Viacom unveils its long-term strategy.
Viacom confirmed that it has concluded a final agreement to fully acquire Pluto TV. The media corporation will pay $ 340 million in cash.
Currently, Pluto TV has over 12 million active users per month, with 7.5 million connected TVs. People run streaming content across multiple devices, including Roku, Amazon Fire TV, Android TV, Apple TV, Chromecast, and Sony PlayStation Consoles. Android and iOS users have also downloaded and used the mobile app.
The acquisition of Pluto underlines Viacom's current key strategic priorities. These include expanding its presence in the next generation of distribution platforms and increasing its advertising business.
The media corporation hopes the acquisition will also improve its strategy to become the leader of the free video streaming market in the United States. Viacom will also accelerate the growth of Pluto TV worldwide.
In a press release, the media corporation outlined six key benefits of the acquisition.
- Create a large D2C (Direct to Users) proposal.
- Significantly improves your business with advanced marketing solutions.
- Add an important bid to the distribution partners.
- Unlock the Viacom library value.
- Creating global opportunities.
- Accelerate the leadership of Pluto TV in free TV.
Speaking about the acquisition, Bob Bakiš, president and CEO of Viacom, explained:
"As the video market continues to segment, we see an opportunity to support the ecosystem in creating products across a wide range of price points, including free of charge.
"For this, we see significant space in the advertising streaming market and we are excited to work with Pluto's talented TV team and a broad range of Viacom partners to accelerate its growth in the US and around the world."
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