More consolidation in the digital video space as start-up video processing specialist Elemental Technologies today announced it was being acquired by Amazon Web Services.
The deal is expected to close in Q4 and, while no financial details were released, published reports say the price likely was in the $500 million range.
Elemental gives AWS a company that has been, hands-down, growing faster and innovating more than many of the other encoding/transcoders in the pace, both large and small.
“The video market is currently at a major inflection point, and one of a magnitude that only happens every few decades,” said Sam Blackman, co-founder and CEO of Elemental. “We’re thrilled to have Amazon supporting our growth and ongoing commitment to our customers’ success.”
Elemental, founded in 2006, had raised some $44 million in several rounds of investment supported by Telstra, Sky, venture firms General Catalyst Partners, Voyager Capital, Steamboat Ventures, Norwest Venture Partners and Oregon Angel Fund and Alliance of Angels.
Elemental has more than 700 customers including the BBC, CNNGo, ESPN ScoreCenter and HBO GO. Blackman said it will continue to operate under its existing brand.
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