Blog Post

It’s Official: Revver Bought By LiveUniverse; MySpace Blamed For Video Site’s Struggles

After everyone and their mother in law reported on it, LiveUniverse has made it official: it has bought the online video site Revver. Rumors of the off-again-on-again deal have been floating for a while, as Revver saw its cash base and its value. The official price tag wasn’t announced, though estimates have been all over the map. NTV last claimed that the deal was for a bit under $5 million.

LiveUniverse is touting the synergies between its social networking services and Revver’s content. Another plus: the deal gives LiveUniverse chief Brad Greenspan yet another chance to take a shot at MySpace.

From the release: “As 2007 began, Revver was beginning to show the growth trajectory that would have allowed the company to be profitable in the not too distant future. Suddenly in mid-January 2007, Revver’s proprietary video player that allowed users to post their videos on MySpace and other social networks, stopped working on MySpace. To the average user, it appeared as if Revver’s video embed was broken. Many users never understood what happened and simply thought Revver’s product was poorly designed and most migrated over to services like YouTube. A smaller group of original content creator pioneers and Revver users realized the truth: That MySpace had become a predator aggressively blocking and censoring any web service it deemed competitive or that it saw generating revenue from users of the MySpace service.”

More here.