Sonic Solutions announced today that it will buy CinemaNow, a company that serves digital video downloads through various platforms. It's a sweet deal for Sonic, which will not only inherit the smaller company's inventory of 6,000 movies, shows and videos, but also its connections with more then 250 content producers, including the major Hollywood studios.
Based in Novato, Calif., Sonic is best known for its Roxio software used to professionally burn DVDs and now Blu-ray discs. Before acquisition plans were released, the two companies had been in talks to integrate CinemaNow's content delivery technology with Sonic's Qflix DVD drives. This would give consumers the ability to download movies and shows off the internet directly to DVD.
CinemaNow raised $40.3 million in venture capital since its founding in 1999. Backers include Cisco Systems, EchoStar Communications, Index Holdings, Lions Gate Entertainment, Menlo Ventures and Transcosmos.