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Inside Online Video

Yahoo Buys Maven Networks for $160 Million

by Mike Abundo on February 13th, 2008

Yahoo has long mulled building a YouTube competitor on Flickr, and now they’ve purchased a piece of that puzzle.

Fresh after rebuffing Microsoft’s $44 billion purchase bid, Yahoo Inc. bought online-video technology provider Maven Networks for $160 million. Maven and Yahoo announced the deal today.

Yahoo will use Maven to expand both its video and video advertising offerings, the companies said. Maven competes in a crowded field against other Internet TV firms such as Brightcove, Extend Media, the Platform and others. Online video experts have been predicting some consolidation among platform providers.

Yahoo’s online video strategy has been sputtering lately, with their disastrous Live launch and their pointless Tech Ticker. Yahoo advanced tech head Bradley Horowitz jumping to Google doesn’t help either. This platform purchase should beef up their backend in areas where they should compete with Google: video sharing and advertising. Good to see them do something that makes sense for a change.

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