News just hit that AT&T has plans to buy Quickplay Media. The telecom provider just announced this in the wake of publicizing their upcoming cross-platform TV streaming service.
Quickplay Media is a cloud-based platform that can be instrumental in boosting over-the-top (OTT) video services, which AT&T is looking to provide soon. Based in Toronto, Quickplay Media is VC-funded, and by now has raised more than $180 million, after starting off in 2003. The company was then bought out by equity investment firm Madison Dearborn Partners, in a $100 million deal.
AT&T still hasn’t said anything about the terms of their deal with Quickplay, but CEO John Stankey did mention what it plans to do with the service. “Our strategy is to deliver video content however, whenever and wherever,” he stated in a press release, citing the multitenant IP distribution of Quickplay as a means to get host and distribute varied types of video traffic.
Consider also that AT&T leads in IP connected end points, which when combined with what they gain from the deal, may well give rise to “an industry-leading video distribution platform, and viewers will get the high-quality online video viewing experience they desire.”
The acquisition will probably be over in the next couple of months, and regarding their plans for Quickplay, AT&T said it would hold on to the 350 workforce, and contractors too, explaining that the experience of this group is a “key part of executing our video strategy.”
It may be worth noting that Quickplay will remain a separate business, as AT&T continues to grow its business around the world. Meanwhile the telco will also be trying to grow its support base with regard to video production and content distribution.
On the Quickplay side of things, the deal will be a good boost to company growth. Founder and CEO Wayne Purboo stated that teaming with AT&T will give them the resources we need to further scale, grow the business, and continuously enhance that platform.” He said the team is looking forward to entering the AT&T umbrella, and that this will help them “power the next generation of video services.”
AT&T’s DirecTV streaming services are set to launch later this year, and is special for the fact that it will allow access to content over the internet, without an existing subscription on the consumer’s side. Video can be viewed on a number of devices including smartphones, tablets, Smart TVs, and PC.