Grid Networks Merges With Global Media Services

Grid Networks, a Seattle-based peer-to-peer content delivery technology startup that’s raised more than $10 million in funding from Comcast Interactive Capital, Cisco Systems (s CSCO) and Panorama Capital has merged with Global Media Services (GMS), a New York-based digital media services company that counts nearly 100 large content producers such as MTV Networks, SpeedTV and Fox Sports among its clients. Rumors of a pending sale of Grid Networks emerged late last month.

Grid’s technology will help us deliver HD content, especially to non-PC devices such a game consoles,” said Charles Picasso, former COO of Digital Island, who’s going to be running the new company, in a statement. “The challenge for content owners is to get video content to three screens and non-PC devices.” Grid’s core technology now works on X-Box, Sony PS3 and Windows-powered computers.

GMS does everything from providing content management tools to streaming video over the Internet, pushing almost a petabyte of data every month on behalf of its clients. The company was founded in 2003 by Jennifer Sultan and Adam Cohen, a 15-year digital media veteran who will serve as chief media officer of the combined firm.

Disclosure: Grid Networks is funded by Panorama Capital partner Allan Leinwand, who is a guest columnist for GigaOM.