NewTeeVee reported last week that online video firm Revver was purchased by LiveUniverses' Brad Greenspan for a little less than $5 million. Revver attempted to pioneer a new business model through which content creators and distributors shared revenue every time a video is downloaded. Revver is now expected to operate independently as part of LiveUniverse with about 25 employees.
Online video start-ups have struggled in the shadow of YouTube who hosted 2.6 billion video streams in December 2007, which is more than seven times the number of the second largest video site Yahoo. The deal demonstrates the difficulty online video firms are facing when trying to compete against Google's YouTube.
What are your thoughts on the Revver acquisition by LiveUniverse?