While obviously not the pinnacle of video-sharing sites with that title wrapped up for the foreseeable future, France Telecom-owned DailyMotion are regarded as one of the biggest in the world (according to some statistics, 12th, with an estimated 116m users monthly), and appear to have become a sought-after property by another company high-up in its online market.
American search engine giants Yahoo! have revealed their intention to launch a bid for the online video service, looking to claim a ‘controlling stake’ in the business, primarily as a means of enhancing their presence in the European video market (in particular DailyMotion’s core markets of France and Turkey).
Reported by The Wall Street Journal, it is claimed Yahoo would attempt to purchase as much as 75% of ‘streaming website’ (valued at an estimated $300m, meaning a potential buying price of $225m), whilst retaining the option of purchasing the remaining 25% from France Telecom (who also own telecommunications giant Orange).
Such a deal would become the first major takeover from Yahoo since hiring current CEO Marissa Mayer last year, and would potentially add to a video presence which sees Yahoo’s collection of services rank 10th in a market dominated by Google-owned YouTube.
None of the parties involved have passed comment on the matter, however, currently denying that a deal is taking place, as Dailymotion’s managing director Roland Hamilton wrote in an e-mail to Reuters: “We are unable to confirm, deny or comment on speculation regarding potential talks between Yahoo and Orange at this time.”
Having shut down a number of major products (including a BlackBerry app) this month as a means of cost-cutting, will Yahoo’s rumoured bid be one that is worth what will be a vast expense?