14 DAY TRIAL // Yahoo will reportedly shut down online video platform Maven Networks, the startup it acquired at the beginning of 2008 for $160 million. Though details are sketchy at the moment Yahoo will apparently continue to use the technologies in-house to power other properties according to a statement made after the initial story broke out.
“Maven technology is used in the Yahoo video player, as well as in the Yahoo Video Advertising Platform that is being used to serve both on- and off- network advertising for Yahoo! Partners,” the statement said. “After careful consideration, Yahoo! is planning to wind down its Maven Networks contracts. This decision will allow us to focus our resources on the continued improvement of our core video offerings, such as enhancing the consumer video experience on Yahoo!.”
At the time of the acquisition the company was coming from a period of strong growth and the deal was expected to bring “state-of-the-art consumer video and advertising” to various Yahoo properties. However, it failed to live up to expectations and the current plans are to shelve the company and lay off most of its employees.
Yahoo has been going through a transitional phase lately under the leadership of new CEO Carol Bartz, who recently held her first shareholder meeting after six months at the helm of the company. As part of a restructuring plan and the new strategy introduced by Bartz, Yahoo has been closing down several under-performing properties like the recent closure of social network Yahoo 360 and Yahoo Gallery, a site dedicated to showcasing interesting apps from various Yahoo sites.
“Since Q4 2008, we have closed or announced our intention to close, nearly twenty Yahoo! services– such as Yahoo! 360, GeoCities, My Web and Yahoo! Briefcase. We continue to evaluate our portfolio of products and services on a regular basis, and plan to share details of further changes with people who use our products in the months ahead,” the statement also read.