Ooyala Raises $22 Million to Accelerate Global Expansion
CID, ITOCHU Technology Ventures, Sierra Ventures, and Rembrandt Venture Partners have invested $22 million in Ooyala, bringing the total raised by the online video platform to $42 miliion. And these are smart investors from all over the world—CID is based in Shanghai, while ITOCHU is headquarted in Tokyo—who seem to be positioning Ooyala to tackle Asia in a way that perhaps more U.S.- and North European-centric start-ups have not yet attempted. Their belief is that online video is catching on in Asia now.
Its a significant investment at an early stage. Ooyala has 550 customers and service 5000 sites according to its recent press release, and deliver 100 million unique uses each month. Ooyala has a staff approaching 100 employees.
However, the company also now have some significant resources to punch above their weight, which is critical at this stage of an emerging market sector. And in a crowded market, even big hitter Brightcove may have a significant contender in time, particularly as the Asian market turns on video. Positioning to tackle Asia could really change the balance of the players.
The question remains in my mind though: how much growth must they do to return on the investment of $42 million?
In the latest version of its Global Video Index, Ooyala warns about the growing piracy threat for sports publishers offering 4K live video.