DivX (Nadsdaq: DIVX), the video codec firm, has bought Veatros, a Kansas-based startup spun out of University of Kansas. Veatros’s technology is designed to conduct real-time digital video processing and will be used by DivX primarily for producing enhanced video search and discovery services, the company said. The search functionality will be integrated with the DivX Connected platform, for network-based media in the living room.
The startup had investment from T2 Venture Capital. Vatros’ website is down, but this 2003 story tell you what the company did. More in release. Though the amount was not disclosed in the release, from its recently filed 10-Q, that amount is for a total of up to $4.25 million, “comprised of an initial upfront cash payment of $2.0 million, and subsequent cash payments up to $2.25 million upon the achievement of certain technology related milestones”.
Also, Davis Freeberg at SeekingAlpha dug further into DivX’s 10-Q, and also found out that the company invested the full $3.5 million first round into DeviantArt, a Hollywood-based online art community. We covered the funding here.