Jeffrey Katzenberg’s recent cell video startup NewTV, which snagged Meg Whitman as CEO in January, has now closed on $1 billion in funding, per a order out at present time in CNN. Investors in the spherical comprise Disney, Twenty first Century Fox, Warner Bros, Leisure One and other media firms, with a combined $200 million investment, while institutional investors from the U.S. and China made up the relaxation.
The news follows a Can also fair order from Bloomberg, which mentioned NewTV had then raised spherical $800 million. It had additionally mentioned Twenty first Century Fox and Warner Bros. contain been investors.
Closing tumble, an SEC filing revealed WndrCo used to be attempting to raise as grand as $2 billion. That would display cloak that the spherical CNN is reporting is gentle in the strategy of elevating.
NewTV declined to comment, when TechCrunch reached them for affirmation.
Minute print are gentle barely sparse on NewTV, which is being incubated by Katzenberg’s WndrCo, a maintaining firm that’s additionally invested in startups at the side of Mixcloud, Axios, Node, Flowspace, Whistle Sports, and TYT Network.
To this point, we know NewTV objectives to carry excessive-superb Hollywood production values and storytelling to cell, nevertheless in a particular format. In its set aside of producing frequent-length TV reveals, it objectives to open advise in “chew-sized codecs of 10 minutes or less.” This is in a position to perchance well additionally involve custom-designed technology constructed particularly for cell, it claims.
However it’s unclear why – beyond having Katzenberg and now Whitman’s names linked – this makes the firm price a thousand million buck investment. The marketplace for this vogue of advise hasn’t truly been confirmed out. After all, at present time’s youngest video buyers are tickled with YouTube – their TV alternative of sorts – which is stuffed with short-create video.
And while YouTubers’ stutter of production values and storytelling chops might per chance well tumble wanting “Hollywood” standards, streaming services admire Amazon, Netflix, Hulu and others are filling in the gaps in phrases of superb, and are rising huge subscriber bases.
If there might be with out a doubt request for “excessive-superb short-create” video, it appears advise producers might per chance well factual sell to existing distributors straight.
It’s additionally unclear for now if NewTV objectives to enjoy and distribute its advise to others, act as its enjoy standalone streaming service, or plans for a mix of every.
In any tournament, as CNN aspects out, even a trim spherical admire here’s a shrimp wager for the higher media firms involved. As properly as, they don’t desire to miss a shot at backing Katzenberg’s most up-to-date – particularly given his prior successes at Paramount, Disney and DreamWorks.