The move is the latest in a long line of video companies that have decided to consolidate in order to gain more traction from a mass audience. Earlier this year Maker Studios purchased well-known video site Blip, and last year Alloy acquired DBG. And those that aren’t consolidating are raising massive amounts of funding to build a business that plays nice with YouTube, but ultimately wants to strike out as its own video network — thus cutting out YouTube’s cut of the revenue made on its content.
As for the merger, both Break and Alloy produce short video clips that are targeted at a younger audience, which make them a good match for each other. The two companies will be rebranded as Defy Media, with Break and Alloy each holding a 50 percent stake in the new venture. Alloy’s Matt Diamond will assume the role of CEO, while Break’s Keith Richman will become Defy Media’s new president.
The newly formed Defy Media will now have a combine reach of 30 million YouTube subscribers and about 50 million monthly visitors to both websites, Break and Alloy told the NYT.
Alloy Digital Network reaches over 60 million young consumers every month through its network of premium, highly trafficked and monitored websites. As part of Alloy Media + Marketing (NASDAQ: ALOY), a youth industry leader with more th... read more »
Powered by VBProfiles