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HP’s Snapfish Buys Video Sharing Site Motionbox

HP’s Snapfish — which currently is primarily an online photo storage service — is expanding into video with the purchase of video sharing site Motionbox. HP (NYSE: HPQ) says it will integrate Motionbox’s platform, which lets users upload, edit and share their personal videos, into its own Snapfish Home Video service, which has some similar features.

The deal comes as Motionbox has seen its traffic rise sharply over the year. The site, which claims about 2.8 million members, benefited when AOL (NYSE: AOL) closed down its own video service and suggested that users transfer their files to Motionbox instead. The company also purchased competing video sharing site Viddyou in October and added that site’s users to its own roster.

HP, however, seems more interested in Motionbox’s technology than in its audience; it’s shutting down the Motionbox site effective Aug. 10 and says all clips will have to be downloaded from the site by then.

Motionbox’s basic service was free, although it charged users $39.99 a month for premium accounts, which included unlimited storage space. (Snapfish Home Videos charges $24.99 a year). The company also had a hosting service for businesses.

Terms of the deal were not disclosed; Motionbox had raised nearly $17.2 million since its launch in 2006 from investors including Constellation Ventures, Canaan Partners and SAS Investors.

2 Responses to “HP’s Snapfish Buys Video Sharing Site Motionbox”

  1. joe61021

    Customers who paid Motionbox for service will be cheap changed to Snapfish which does not provide the same services as Motionbox promise to their customers.