After launching a new version of its video platform earlier this month, ExtendMedia announced a $10 million Series C round of funding. With recent funding announcements for KickApps, Transpera and Digitalsmiths, it looks like venture funding will not completely dry up for companies investing in online video services and technology. The round will be funded by previous investors Atlas Capital, TVM Capital and Venrock Associates. The $10 million adds to the roughly $23 million in capital the company has already received.
ExtendMedia CEO Keith Kocho echoed the assertion (hope, dream) of many online video industry players: that the economic downturn might actually fuel increased growth in the space in 2009 as consumers turn to free entertainment options.
"I'm still kind of bullish, even given the economic downturn," Kocho said. "People are going to be watching budgets more closely than they have, which benefits a stable company with a proven customer base like Extend Media when they are making purchasing decisions."
Kocho indicated the round would be used to target growth in international markets, and to sustain growth and operating capital throughout any economic stress period. ExtendMedia was recently selected as AT&T's digital content services software partner in a new CDN offering and also claims other large media companies as clients -- an encouraging sign for venture investors.
- see the Contentinople post here
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