In the latest instance of multichannel video network consolidation, Fullscreen Media today has purchased video production company Rooster Teeth, the company behind popular gaming web video series Red vs. Blue.
The move is interesting, in part because Fullscreen just recently sold a majority stake to Otter Media, the joint venture between Chernin Group and AT&T that is looking to invest $500 million in streaming video services. And apparently, some of the money from Fullscreen’s sale is being used to stack its content deck with web video mainstays like Rooster Teeth. This isn’t the only example of consolidation from multichannel video networks. Earlier this year Legendary pictures gobbled up Chris Hardwick’s Nerdist Industries, Felicia Day’s Geek & Sundry, and Amy Poehler’s Smart Girls Network. Also, major media companies have been paying far more attention to larger multichannel networks, such as Disney’s $500 million purchase of Maker Studios.
As for Rooster Teeth, the company’s YouTube channel is among the most viewed globally with over 5 million subscribers and 2.2 billion views per month. In addition to Red vs. Blue, the company is also responsible for long-running web series like Achievement Hunter, Immersion, and RWBY. It’ll be interesting to see how the channel grows now that it has a large benefactor like Fullscreen supporting it.