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Summary:

Brightcove, an online video platform and destination start-up has raised a whopping $59.5 million in new funding from strategic and large institutional investors. The new investors include Maverick Capital, Brookside Capital, AllianceBernstein, The New York Times Company and Transcosmos. Existing investors such as Allen & Company, […]

Brightcove, an online video platform and destination start-up has raised a whopping $59.5 million in new funding from strategic and large institutional investors. The new investors include Maverick Capital, Brookside Capital, AllianceBernstein, The New York Times Company and Transcosmos. Existing investors such as Allen & Company, AOL, and Accel Partners participated in this round of financing.

The funding closed yesterday, company CEO Jeremy Allaire wrote to us in an email this morning. We had reported in November that the company was looking to raise over $55 million. The company had previously raised over $21 million in two rounds of financing. On his blog this morning, Allaire notes:

2007 is clearly going to be a major year for online video, and also a year of consolidation as many of the hundreds of online video startups seek a place in the new ecosystem. We also expect 2007 to be a year where established media companies make more bets.

BrightCove is in a crowded and competitive online video market. If on one hand it is taking on the mighty Google-YouTube combo, then on the other hand it is fighting with tiny tots who keep popping up every so often. The emergence of P2P TV-Video start-ups like Joost is another worry for BrightCove, since they are going after the big media companies as well. With another $59.5 million or so in the coffers, Allaire has ensured that at least he can fight for a long time.

  1. Is there any estimate / knowledge as to the valuation of Brightcove?

    Raising so much money means a very high valuation for privately held company.

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  2. Wow, $60M, that’s a lot! I wonder what the post-money is? I bets it’s in the range of $250M, so that means that Brightcove has to exit for at least a couple billion in order for it to be an interesting investment for the VCs. Amazing.

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  3. Yes indeed the BUBBLE is back with even BIGGER Delusions of grandeur.

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  4. $60M… Crap that is a ton of cash to raise. Wonder where this startup will be in five years… Crazy! Thanks for the post.

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  5. Bambi Francisco says she’s been told the valuation is $220 million: http://bambi.blogs.com/bambifrancisco/2007/01/brightcovesqua.html

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  6. Correct link is:
    http://bambi.blogs.com/bambifrancisco/2007/01/brightcovesqua.html

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  7. Ooops, the underscore was swallowed. Its before the qua.html.

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  8. Why?

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  9. We had posted back in November 2006 that the company was looking for a $225 million valuation. I am not sure if that is true today or not, but it is certainly over 200 million.

    and yes i do agree – $60 million is a whole lotta cash. if this is not enough to take them to the promised land, than nothing will.

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  10. On another note, I think they should be focusing on the large media companies instead of chasing the YouTube type market opportunity. There is a lot more money in being an enabler, and makes them a lucrative take out target for one of the big boys like Arris or even Cisco.

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