Machinima Wants Hollywood Studios as Partners or Investors

/ Jul 18, 2013

Machinima

A month ago, multiple reports indicated that Machinima was looking to raise a massive round of financing (as high as $70 million) to launch a premium over-the-top video service, which would allow it to compete with the likes of Netflix, Amazon, and Hulu. The company believed then that it had the ability to create a lucrative business by offering high-quality, TV-like programming and making it available via an owned-and-operated platform that users could access across multiple devices.

That hasn’t changed, as a Reuters report from earlier today says Machinima is still looking to raise a massive money round, but now closer to $80 million.

Back then, I argued that if Machinima wanted to successfully follow through on its content ambitions and become a new Netflix or HBO, any money round it raises needs to include a major media company like Comcast or Time Warner. The reasoning is simple: if you plan on charging people to access your SVOD service, you better have content that they want to watch, and if it’s an subscription-based OTT service, are willing to pay for. There are large media companies with an abundance of IP that Machinima’s core audience of 18 to 34 year old “fanboys” recognize and already love.

It appears that there is similar thinking at Machinima. According to the Reuters report, Machinima is in talks with Hollywood studios including Time Warner’s Warner Bros. and Viacom’s Paramount Pictures to partner on TV-length programming or have them come on as investors.

Machinima has existing relationships with Warner Bros. and Paramount, having partnered with WB on the live-action “Mortal Kombat: Legacy” series and with Paramount on an upcoming Grand Theft Auto-style action series.

Machinima CEO Allen DeBevoise told Reuters that his company plans to license full-length 44-minute shows, which Reuters notes, is the average runtime of an hour-long TV episode.* In this scenario, the studios producing the programming that Machinima licenses would keep ownership over the shows, which would allow them to monetize by packaging them for distribution in international markets.

Tags: , , , , , , , , ,


Read today's digital video news stories

Quick Breaks: DramaFever Adds British Titles in US; Rightster...

beet app

Social Video App Beet Isn’t a Snapchat Rival; Its Goal Is...

Magic Leap VR

Former Vevo Chief Rio Caraeff Makes ‘Magic Leap’ as...

Anna Akana_Gidden Media

YouTuber Anna Akana to Star in and Develop Gidden Media Digital...

Digital video industry news today

Wednesday 7.1.15: News to Know

the untitled web series morgan evans is doing for MTV

MTV(Other)’s Newest Series Stars Comedian Morgan Evans

White Room immersive film

Roddenberry Entertainment to Release Immersive Film on Mobile

Screen Shot 2015-06-29 at 11.40.20 AM

Disney Scrambles Up a New Hip Webseries

Read today's digital video news stories

Quick Breaks: Netflix Releases New ‘BoJack’ Trailer;...

Dailymotion

Vivendi Finalizes Purchase of Majority Stake in Dailymotion for...

League of Legends

eSports Gaming & Gambling Platform Unikrn Takes $7 Million...

Digital video industry news today

Tuesday 6.30.15: News to Know

Break Movies

Break Movies signs licensing deal with Paramount

CAA Signs Bart Baker

“King of Parodies” Bart Baker Signs with CAA

Starz Arabia kickstarting SVOD in Middle East

OTT Revenue in the Middle East, Eastern Europe and Africa is on...

Mr Robot

Mr. Robot Scores Big for USA Network with Online Pilot Preview

Read today's digital video news stories

Quick Breaks: Meerkat to Embed Streams for Shark Week; Another...

New Defy Fiat series Bigger Is Better

Chris ‘Big Black’ Boykin Drives a Fiat in New...

Digital video industry news today

Monday 6.29.15: News to Know

Reuters TV iPhone

A Peek Into Reuters Live Video Syndication Play with Mirror Image

Amazon_Catastrophe

From The UK With Love and Snark

Arianna Huffington 3-2-15

HuffPost Revs Up For TV, Mobile, Social and Global Video Play

fox logo

Fox Networks Group Taps Former Sky Deutschland CEO as First-Ever...

Read today's digital video news stories

Quick Breaks: Morgan Spurlock Doc on Amazon; Netflix Sets...

cinedigm

Cinedigm Invests in Shout Factory, Will Reboot Its OTT Video Channel

feeln

Hallmark’s SVOD Service Feeln to Produce Weekly Talk Show...

subway original series on hulu

New Season of Subway’s Scripted Series Debuts on Hulu,...

VideoInk_Cognito_Banner_300x250

Is Verizon Really Well-Positioned for the Streaming TV Business?

Digital video industry news today

Thursday 6.25.15: News to Know

verizon

Verizon Adds Scripps Channels to Its Upcoming...

transparent renewed for season three

‘Transparent’ Gets Third Season, Soloway Gets...

Mobile video on different screens

Viewers Are Watching Longer Content on Smaller Screens (Report)

Van Halen's backstage rider

Web Series Wednesday: See What Van Halen Drinks and Patti Smith Eats

Read today's digital video news stories

Quick Breaks: Grateful Dead Concerts Will Stream on YouTube;...