AT&T just announced that they would be buying Quickplay Media, a cloud-based platform that can be used to propel over-the-top (OTT) video services. The nation’s second largest telco and the owner of DirecTV revealed this news three months after letting out plans that they would be launching a cross-platform TV streaming service later this year.
Toronto-based Quickplay is VC-funded, and has raised over $180 million since it started in 2003. In 2012, the company was bought out by Madison Dearborn Partners, an equity investment firm, for about $100 million. AT&T hasn’t let out the terms of the upcoming deal. CEO John Stankey said in a press release that the company is looking to “deliver video content however, whenever and wherever.”
The multitenant IP distribution system in Quickplay, mixed with the AT&T’s IP connected end points, will allow the latter to host and distribute various forms of video traffic. “We intend to scale and operate an industry-leading video distribution platform, and viewers will get the high-quality online video viewing experience they desire,” he added.
The acquisition deal will likely be finalized inside the next two months, and AT&T says it plans to keep on Quickplay’s workforce of 350, as well as contractors. “Their knowledge and skills are a key part of executing our video strategy,” Stankey said on the matter. Another interesting thing is that the cloud-based platform will keep functioning as a standalone business, while AT&T continues to expand its customer base around the globe. The company will also be looking to widen their support base of video providers and content distributors.
As for Quickplay, founder and CEO Wayne Purboo hinted that the deal would help the company grow more rapidly. “With AT&T, we’ll have the resources we need to further scale, grow the business, and continuously enhance that platform,” he said, and added, “Our team is proud of what we’ve built so far and excited to join the AT&T family. This combination will help us power the next generation of video services.”
AT&T will be launching a new slate of DirecTV video services later this year, which will let consumers access programming content over a wired or wireless internet connection. Viewing will be open to smartphones, tablets, Smart TVs, streaming media hardware, and PC – that about comprises the entirety of modern viewing devices. Each of these services will be accompanied by several simultaneous sessions.