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Inside Online Video

LiveUniverse Buys Revver for Almost $5 Million

by Mike Abundo on February 14th, 2008

Many video creators still have videos on Revver that still pay money, so it’s good to hear the company’s been bailed out of hard times for now.

Troubled video site Revver was bought by Brad Greenspan’s LiveUniverse last night for a price “many multiples more” than the $500,000 to $1.5 million reported recently, according to a source close to the deal. Update: We now know that the price was just under $5 million, so it seems our source’s math was a little optimistic. We’ll add more if we can get more specific.

Our source would not disclose the selling price, but said “I wouldn’t say anyone got rich, but everybody was happy.” Revver had raised $12.7 million from Comcast, Turner, Draper Fisher Jurvetson, Bessemer Venture Partners, Draper Richards and William Randolph Hearst III. The Revver team will continue working under the new ownership.

I’m not sure how I feel about this. On one hand, I’m really glad video creators who’ve put lots of effort into Revver will continue to get paid for their efforts. On the other hand, LiveUniverse does not have the best reputation in the online video community.

Purchaser LiveUniverse operates multiple sites, including video-sharing service LiveVideo, which about a year ago instigated a scandal on YouTube when it reportedly paid top YouTube users to come to its platform. LiveUniverse founder Brad Greenspan, who was involved with MySpace early on, is perhaps best known for his lawsuits protesting the company’s sale to News Corp.

As the YouTube partner program expands, Revver’s revenue-sharing advantage narrows. Wonder how LiveUniverse will deal with that narrowing as it moves forward with Revver.

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POSTED IN: Revver

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