In their attempt to offer quality content to their users Facebook has acquired the services of Vidpresso. It is a six-year-old Utah based start-up that works with content publishers and TV broadcasters to enhance the quality of their videos by making them interactive through graphics, comments and live broadcasting integrated with social media platforms.
Facebook hasn’t bought the entire company instead of the technology of the start-up and seven people from their company with the knowledge of their technology. The Vidpresso team will use the same tools that they use to create refined videos for Facebook.
None of the companies disclosed the financial terms of the deal. Vidpresso had earlier raised $120,000 from Y Combinator in 2014 and some of their funding was provided by Angel. In 2016, they revealed that their company was profitable and they wouldn’t be selling off their company unless they got an amazing offer like WhatsApp. Facebook really seems to have offered them something big or Vidpresso went down on their demand.
The existing clients of Vidpresso like Univision, Turner Sports, KTXL, NBC, BuzzFeed, TED, Nasdaq along with others will continue using its services. The members of Vidpresso team will be joining the offices of Facebook in their offices in London, Los Angeles, and Menlo Park.
For now, Facebook will temporarily be a provider of enterprise video services. However, Facebook confirmed that they will not charge the Vidpresso clients for the services they are providing.
It is still not sure whether or not Facebook will allow the existing clients of Vidpresso to continue using its services or not. Video platforms such as YouTube and Twitch are after all its competitors. Instead of just shutting it down Facebook seems to be offering a more happy ending to Vidpresso which is totally the opposite of what bigger tech giants do to their acquisitions.