The Walt Disney Company has confirmed that it is acquiring MCN giant Maker Studios in a deal worth an initial $500 million with an estimated $450 million in additional performance-based compensation to come. Maker, one of the major players on YouTube with a stable of around 55,000 content partner channels, 5.5 billion views per month, and 380 million YouTube subscribers on YouTube, will bring “advanced technology and insight into consumers’ discovery and interaction with short-form online videos" for the media giant.
Robert A. Iger, Chairman and Chief Executive Officer at Disney said of the deal:
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.
In a response from Maker Studios, Ynon Kreiz, Executive Chairman and CEO of the company stated that:
Disney is synonymous with the best entertainment and is the ideal partner for us, strengthening our position as the leading player in online video.
Ryan Lissack, Chief Technology Officer at Maker, tweeted the following confirmation minutes ago:
I'm very excited to announce that we have been acquired by The Walt Disney Company
— Ryan Lissack (@ryanlissack) March 24, 2014
Watch this space for more news and views of the acquisition.