LiveUniverse Buys Revver for More than a Song (about $5M)

76 Comments

Troubled video site Revver was bought by Brad Greenspan’s LiveUniverse last night for a price “many multiples more” than the $500,000 to $1.5 million reported recently, according to a source close to the deal. Update: We now know that the price was *just* under $5 million, so it seems our source’s math was a little optimistic. We’ll add more if we can get more specific.

Our source would not disclose the selling price, but said “I wouldn’t say anyone got rich, but everybody was happy.” Revver had raised $12.7 million from Comcast, Turner, Draper Fisher Jurvetson, Bessemer Venture Partners, Draper Richards and William Randolph Hearst III. The Revver team will continue working under the new ownership.

Revver gained goodwill early on for being the first video-sharing site to split revenue with creators. Many independent creators still prefer the service, though web video stars Ze Frank, Ask a Ninja, Lonelygirl15, and Invisible Engine have discontinued using it as their main platform. The company, growing up alongside YouTube, was brought down from the limelight with a combination of bad luck, management problems, and product weaknesses. And oh yeah, the fact that it’s hard to make money on web video. But nowadays if you’re a popular web video creator, people will fight to make revenue on your clips and share it with you.

Purchaser LiveUniverse operates multiple sites, including video-sharing service LiveVideo, which about a year ago instigated a scandal on YouTube when it reportedly paid top YouTube users to come to its platform. LiveUniverse founder Brad Greenspan, who was involved with MySpace early on, is perhaps best known for his lawsuits protesting the company’s sale to News Corp.

To its credit, Contentinople was first to report that LiveUniverse was taking a hard look at Revver. CNET brought the story to the forefront last week when it reported that the LiveUniverse deal had fallen through stalled and Revver was shopping itself for $1.5 million or less in cash and debt assumption.

76 Comments

margerea

Not only do they owe people from revver that wont get paid they owe tens of thousands of dollars to others that worked on their prior sites and more.
read about revver sell out and why nobody gets paid what is owed at
http://www.zolaenterprises.com click the link for video sites like revver and metacafe. No money to be made in videos and usa companies for sure.

Cosmetics World

I like Revver, I use it all the time. I watch videos on cosmetics and how they can be applied. I also watch videos on how to get cheap makeup!

Martin Scholler

The weasels at Revver ran it into the ground due to their lack of intelligence and business savvy. They are still on my books–owing me a basketful of dough that I will probably have to write off–giving me additional work contracts when they KNEW they were in the toilet.
Typical Hollyweird JERKS.

S. Whitmore

Sometimes I wonder whether I’m reading criticisms about Revver or about Ron Paul. For either one, those who criticize the harshest seem to show the most ignorance! A lot of it sounds like moronic bandwagon potshots rather than insightful commentary (e.g., “nothing to see here”). As someone who has paid a few bills in earnings from Revver, I can definitely think of a few of Revver’s mistakes and mis-steps along the way — but people who criticize them in blog comments almost never come close to those real problems and instead come off as fools who are just mouthing what they’ve heard/read elsewhere.

Martin Chartrand

I’VE EARNED 8$ AFTER 20 000 VIEWS FROM BLIP.TV UP TO NOW at REVVER it’s 3$
Revver has way less posting options, it doen’t work for myspace or very well with springbox rss widget video player, Metacafe is good for some reasons
but I won’t publish there because I’m still is waiting on them to get in the producer reward
program…

I’m a prolific art video editor I prefer http://veejaytsunamix.blip.tv/ because it’s streamming chanel that suit’s me best.It shares add revenues I can turn adds off if needed. My biggest issue is that there is that the default setting their player on their portal starts with is bigger resolution then what I’m actually comfortable with. I chose not to publish in full resolution (anywhere) because if I do so I want to
get paid more than a cent everytime someone clics…

But in the meanwhile I use my blip.tv RSS feed in conjunction with my spring widget
to generate a nifty play list assorted with a player that doesn’t hog the bandwidth
when my would be friends browse by my myspace :
http://www.myspace.com/www_tsunamix_tv

I always post a reply comment to a friend’s request or comment & when I do so I can do
it’s with blip.tv’s customizable player at the exact pixel width=”320″ height=”240″ in which
I actually published. They have great stats, licensing & distribution options also.

I’m still doesn’t so I’m putting off any other uploads there because of it.

I own the rights to everything I publish I’m still putting of the upblishing of at least
one hundred more!

At the end of the day content creators like me will own the internet!

Not the widget makers & the likes!
The internet runs on content
not containers.

In my case would be candidates are already trickling in
(whitout stale media adverts)!

I’m in California, all February & March, hopefully I’ll start production
of “TsunaMiX HD The Next Wave” soon!

Presently, I’m in San Diego.

Learn How You Could Become a TsunaMiX HDTNW performer
on my surreal road adventure at :

http://www.TsunaMiX.Tv

Carl McG

BLAME FAILURE ON REVVER”S LAWYERS: KEN HERTZ
That is right, Revver was a good idea.
But it was handled in quite a disastrous style
by a pair of lawyers Ken Hertz and Fred Goldring
I think their names are. I used to work there,
and these guys tried to be ‘creative’ and ‘marketers’ for the web, but ..like the lawyer folks who killed the music biz…they don’t have that skill set ! They alienated everyone in management and marketing, and
now have to sell it at firesale for nothing..
at great loss to investors. What kind of smart
business sense is that? Not very good mssrs
Goldring and Hertz ! Those guys are not very smart, and too bad for Revver and Steven Starr,
if only he had better judgement finding legal
partners than those bunch of clowns…ya know.
Signed a loyal employee 3 years.

Gabe

@Kaiyzen

I think the more accurate statement the author could have said is:

“I wouldn’t say anyone got rich, but every was happy to get this worthless company off their plate.”

At this stage investors are just itching to get away with anything they can take over $0.

Kaiyzen

Something is wrong with the VC community if the source is throwing out the line

“I wouldn’t say anyone got rich, but everybody was happy”

If they sold for under $5 Million on raising $12.7 Million that equates to a minum loss of $7.2 Million.., not quite the return an investor normally looks for from a tech startup.

LeaveLizAlone

Leave Liz Alone CNET! Sounds the same to me CNET, fallen through, stalled, whatever. Greg who? Stick to your product reviews CNET.

Greg Sandoval

Liz,

Hi, you’ve erroneously reported that I and CNET said that the talks had fallen through. I wrote that they were “stalled.” Thanks.

Greg Sandoval
CNET News.com

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