Viacom March 4 announced the completion of the acquisition of AVOD service Pluto TV.
The acquisition, for $340 million in cash, will advance Viacom’s strategic priorities while solidifying Pluto TV’s leadership in the domestic free streaming video market and accelerating its growth globally, according to a Viacom press release.
Pluto TV will operate as an independent subsidiary of Viacom, led by President and CEO Tom Ryan.
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“The completion of this deal marks an exciting next step in Viacom’s evolution and a powerful opportunity for us to extend our consumer reach and broaden our ability to add value across the industry as the media landscape continues to segment,” said Bob Bakish, Viacom president and CEO, in a statement. “Together with Pluto TV, we look forward to becoming a stronger partner to distributors, advertisers, content providers and audiences around the world.”
Founded in 2013, Pluto TV streams more than 100 channels and thousands of hours of on-demand content spanning television and movies, sports, news, lifestyle, comedy, cartoons, gaming and trending digital series. It has more than 12 million monthly active users across devices, including smart TVs, streaming players, mobile devices, desktops and gaming consoles, according to the release.
“Pluto TV will have a crucial role in expanding Viacom’s presence across next-generation distribution platforms as a standalone free over-the-top (“OTT”) product, a direct-to-consumer cornerstone, and a partnership solution for wired, mobile and OTT distributors to serve their broadband only and video bundle subscribers on a zero incremental cost basis,” stated the release.
Pluto TV also benefits Viacom’s advanced marketing solutions (“AMS”) business, serving as a source of targeted inventory — particularly for younger demographics — thereby strengthening Viacom’s ability to serve advertising customers and their associated agencies, the release stated.