Australia's Telstra has arranged to acquire nearly all of video streaming and analytics company Ooyala for $270 million.
Based in the Silicon Valley in the US, Ooyala delivers personalized video experiences across all screens. It provides online video management, publishing, analytics and monetization.
Following the acquisition, Telstra's ownership in Ooyala will increase from 23% to 98%, in addition to the $61 million previously invested in Ooyala over the past two years. The transaction is expected to be completed in the next 60 days.
Ooyala will become a subsidiary of Telstra, and will operate as an independent business under the leadership of its existing management team led by CEO Jay Fulcher. The company will retain the Ooyala brand and will continue to be headquartered in Silicon Valley.
Telstra CEO David Thodey said the deal “provides an opportunity for Telstra and Ooyala to establish a consolidated leading global company to deliver platforms and services on which the next generation of TV and video will be built.”
He said that Ooyala can now more rapidly scale its operations worldwide to seize the multi-billion dollar opportunity for cloud-based video solutions that enable personalized multi-screen television for mass audiences.
This article originally appeared in Computerworld Hong Kong