[UPDATE 8/21/13 3:29 p.m. PT] Vuguru CEO Larry Tanz, whose company has previously worked with Blip, gave his thoughts on the Maker/Blip deal to NMR: “It’s a mutually beneficial deal where it gives Blip an opportunity to get more traffic on its platforms where it gets good CPMs (cost per mille) sell-through and gives Maker the ability to try to shift its audience to a platform where they can keep a greater portion of the money and not give it to YouTube and a brand that’s more of a premium brand.”
He added: “Both companies are creator-centric. Blip’s voice and point of view is towards creators and obviously the audience as well and Maker has always been focused on that area. Philosophically, they’ll see eye to eye on that but it really feels like Maker acquiring them to keep the capabilities for premium ad sales and a player and a place to drive traffic.”
Maker Studios will pay for Blip with stock and cash, which would give the second-largest independent multi-channel network according to Comscore an ever bigger footing in the online video industry. It would also give Maker a platform for its creators outside of YouTube. Blip has its own video platform separate from YouTube even though much of its content is featured on the rival video-streaming platform thanks to its channels The Pet Collective and the League of Super Critics.
It would also reunite Maker Studios with Ray William Johnson, who left in December after a public spat over a host of issues, including contract negotiation over his AdSense revenue that were not in his favor. Johnson recently partnered with Blip and will launch a series produced by his Runaway Planet production company in October.
However, according to sources close to Blip, while CEO Kelly Day will leave the company, Maker will keep the majority of Blip’s staff as well as the Blip brand.
Maker’s purchase of Blip is set to be finalized by late September.
NMR reached out to Day for comment and will update it when possible.
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