Warner Bros. Leads $24M Investment Into Machinima Online Video Network

Warner Bros. Entertainment upped its investment in Machinima, leading a $24 million round of financing for the videogame-oriented digital-video network.

Other previous investors in Machinima, including Redpoint Ventures, MK Capital, Coffin Capital and Machinima Chairman Allen DeBevoise, also participated, said company CEO Chad Gutstein.

Machinima went through huge turnouver about a year ago, bringing in Gutstein and several other executives and laying off most of its sales operations, among other changes.

Since then, the company said monthly viewership is up 70 percent, and U.S.-based viewership has tripled. The company’s network of online video creators have more than 430 million subscribers. According to ComScore, that traffic ranks Machinima 9th in the U.S. among online-video entertainment sites, and 4th among males.

“In 2014, Machinima regained our leadership position in the global digital video marketplace by focusing on our Talent Network and transforming our brand into one that is reflective of our content, our audience and our community of creators,” said Gutstein. “This additional funding will enable Machinima to accelerate our growth through increased investments in content and technology that better serves our audiences, advertisers, creators and distributors.”

Warner Bros. has done several online-video programming deals with Machinima, including two seasons of Mortal Kombat: Legacy and the upcoming Justice League: Gods And Monsters Chronicles. 

The studio’s continued investment in Machinima (without buying the entire company) comes as several other studios and networks have bought in to part or all of major YouTube multi-channel networks over the past year and a half.

Among much else, Disney bought Maker Studios, ProSeibenSat.1 bought a stake in Collective Digital Studios, RTL bought StyleHaul, AT&T and the Chernin Group bought Fullscreen and DreamWorks Animation bought Big Frame and AwesomenessTV, then sold a quarter of the company to Hearst for about three times what it had paid for the entire company.






This article was printed from https://deadline.com/2015/02/machinima-warner-bros-investment-1201377280/