I should note that WatchMojo.com is one of the many content providers on Joost, and I’m pretty sure we’re one of a few online-only providers.
Also, that being said, in no way am I talking in this post as WatchMojo.com’s Executive Producer/the guy who signed the deal with Joost, I’m just making a few observations as someone who covers the space and has seen the product when I was looking at our content in the interface:
Joost just announced a massive $45M in funding, with Index, Sequoia, Li Ka Shing, Viacom and CBS Corporation.
- This is the first outside funding, with the product being thus far built with the two founders money from the Skype sale to eBay.
- I have played with Joost and the interface is slick. See our review ages ago.
- Joost has signed up many (31 I think) top notch advertisers, but until volume picks up and distribution deals are forged, I presume revenue will be somewhat low.
- Note that Kazaa had no revenue model other than the odd adware, and Skype’s revenue was not befitting of its $4B price tag deal, so I wonder if…
- This $45M funding, one of many I am sure, is a sign that Joost will try to become a viral distribution play to ramp up audience and then sell for a massive payday and not necessarily subsist on profits.
Am I wrong? What will that mean for content providers? Of course, it could also indicate that Joost sees a lot of IT spending and paying out a lot of revenues to partners so it needs a war chest… but if Kazaa and Skype charted a trend, then I do wonder where Joost will end up.
Oh, sometimes, hype is all flash and no substance, but sometimes, like cliches, hype exists for a reason. I’ve seen our content on the interface, and I’m biased and all, but there is something way cool about how Joost has packaged it.
Of course, between then and now there are no guarantees of that, but if third time is the charm, then just imagine.
Plenty of commentary and analysis around the Web.
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