With a clear goal of gaining a strong presence on YouTube, Disney acquired the popular YouTube network Maker Studiosfor $500 million.
The move appears to give the world's leading entertainment company a powerful advantage, as it will give it the opportunity to expand into the ever-growing short-form video market. In fact, if Maker Studios meets certain goals, Disney will contribute an additional $450 million.
Maker Studios, a leading online video network with more than 55,000 channels, 380 million subscribers and 5.5 billion monthly views, will remain based in its Culver City, California, facility and will report to Disney Chief Financial Officer Jay Rasulo, the company said in a statement.
Disney hopes that this acquisition will provide it with the additional necessary expertise and business skill of Maker Studios in the rapidly growing short-form video sector, including Disney's own content.
