3 years ago, an online video startup, Eyespot, raised $3.7 million in funding for its online video editor and mashup tool. Earlier this week, co-founder David Dudas announced on twitter that eyespot was being shut down.
According to Techcrunch, Eyespot had been looking for a buyer for some time without success and ran out of cash. Although the site is still live for the time being, the San Diego based company officially shut down and let its staff of 22 employees go on Monday. They are now looking to sell of their assets and according to an email sent to users (shown below), eyespot is recommending its previous competiton (Kaltura & Fliqz) to business customers that rely upon the eyespot video publishing network.
"We deeply regret to inform you that Eyespot Corporation will no longer be able to continue serving you.
For our users at eyespot.com, we're no longer allowing you to upload new videos. You can retrieve your uploaded video and mixes by going to your mymedia gallery and clicking the download link below the video thumbnail.
For our business customers in the eyespot video network, your site will continue operate unaffected for a limited period of time. We encourage you to migrate your video solution to one of our competing providers in the video mixing (e.g. http://corp.kaltura.com/) and video publishing space (e.g. http://www.fliqz.com/) immediately. We'll soon be providing you with the means of downloading your community videos from within your dashboard at ].
We have spent three years providing over a hundred thousand of you with a unique video experience. We believed that by putting creative tools and rights-cleared media into the hands of influencers and connectors, Eyespot would enable social media and participation culture like no other company.
After playing over two hundred million of your video creations, we have to stop. After assembling possibly the most potent team in digital media ever, we're now moving on.
Thank you all for being apart of our community over the past three years.
President & CEO"