Move Networks, the heavily-backed online video technology company, has been put up for sale, after it had difficulty raising additional cash, according to various reports.
A company representative hasn’t responded to our inquiry yet. The company confirms it has retained a financial advisor to evaluate “strategic alternatives, including a possible sale,” although it says there is no “assurance that any transaction will occur.”
Move initially offered technology used by media companies like ABC (NYSE: DIS) and Fox to stream high-quality video online — but it purchased UK-based Inuk Networks just over a year ago in order to provide a platform for ISPs and telcos that wanted to offer multi-channel TV over the internet. The company brought in former DirecTV (NYSE: DTV) president Roxanne Austin as CEO last July to lead the expansion. She is now leaving the company.
BusinesofVideo‘s Dan Rayburn writes that three companies have so far have expressed interest in Move. In a MoveNetworks Tweet — first noted by NewTeeVee, the company throws out a price of $150 million, although it’s very unclear if it can fetch that much:
In the meantime, it looks like the company is basically shutting down. NewTeeVee, VideoNuze, and TDG Group say that the majority of the company’s employees have been laid off and Move says that there has in fact been a “reduction of its workforce,” although it says it is “continuing to serve existing customers and potential new partners.”
Move had raised almost $70 million in funding from investors, including Microsoft (NSDQ: MSFT), Benchmark Capital, and Cisco.