Disney Acquires YouTube Network Maker Studios for $500M.


Disney Acquires YouTube Network Maker Studios for $500M.

Disney has recently managed to acquire YouTube Programmer Maker Studios for an amount of $500 Million this past Monday.

In a released statement by Disney said that Maker Studios shareholders would be receiving a hefty total amount of up to $500 million , and an earn-out of up to $450 million if the proposed performance goals are met. Disney has been contacted to elaborate further details, but as of now, no word has been sent back.


This is one of the latest significant investment when it comes to YouTube’s multichannel network by a traditional media company, who are searching for newer platform and entertainment, The company behind the production of gaming videos, Machinima, had disclosed with Warner Bros. Leading a $18 million financing round earlier in the month. Although both Machinima and Maker had laid off some of its workers during the previous year, hinting towards the difficulty of creating new forms of video content business on their own.

Disney suggested that Maker’s astuteness would be applied towards clips of various Disney video. In its statement, the company went on to say that Maker’s acquisition would bring its advanced technology and business intelligence on short-form internet videos, including Disney content.

“Short-form online video is growing at an astonishing pace and with Maker Studios, Disney will now be at the center of this dynamic industry with an unmatched combination of advanced technology and programming expertise and capabilities,” Disney Chairman and Chief Executive Robert A. Iger said.


The company went on to say that Maker has managed to gather up to 5.5 billion monthly views and 380 million subscribers. It has constantly managed to stay on the top five most watched YouTube partner channels in ComScore’s Monthly Video Metrix ranking, with some of the highest seen numbers for minutes watched per viewer.

Maker Studios will for now on be reporting to Disney’s Chief Financial Officer Jay Rasulo and will remain in their current location of Culver City in California. Disney expects the deal to be closed in its fiscal third quarter, which will end sometime in June.

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