UPDATED to reflect corrected paidContent story and to include a statement from Dailymotion. French online video site Dailymotion has raised 15 million euros ($22.1 million) to shore up its resources as the company looks for ways to monetize its audience, reports paidContent. The new funding brings the total amount the company has raised to $65.6 million since 2006. UPDATE: A Dailymotion rep provided us with the following statement:
In the coming weeks, Dailymotion will be releasing a formal statement regarding a fundraising round. However, we can currently confirm that we are a profitable operation, meaning that costs are lower than revenues. Contrary to some media reports, we are raising over $20 million in a round that includes current investors for the purpose of having a strong balance sheet for the expanding the business. We do expect 50%+ revenue growth over the next year and we are investing to grow over all three major video platforms (tv, pc, mobile).
Dailymotion CEO Cedric Tournay told paidContent that his company is profitable at an operating level, but it’s having a hard time catching up with increased bandwidth costs. Tournay also said that the site is advertising on less than 10 percent of its videos.
It’s been a bumpy year for Dailymotion. In April, the company replaced CEO Mark Zaleski with Ian Brotherston, but Brotherston didn’t last long and in July he was replaced by Cedric Tournay (Dailymotion insisted that Brotherston was only an interim replacement). Tournay cut 20 percent of the site’s costs, some of that through layoffs.
Dailymotion, which says it has roughly 60 million unique viewers per month, hasn’t found any traction in the U.S. market, where it’s not even a top 10 video site, as ranked by comScore. The company has ventured into the original, English-language content this year being the exclusive home of Hayden Black’s sci-fi musical comedy The Cabonauts. Perhaps its recent push into offering open video formats like Ogg Theora and Vorbis audio can help give it a boost.