Internet video-on-demand firm Akimbo Systems has closed a $15.5 million financing round, gaining technology giant Cisco and telco AT&T as new investors, along with venture-capital firm Blueprint Ventures.
Akimbo, which announced a deal in April to provide programming to AT&T's new Homezone hybrid satellite/Internet TV service, plans to launch an RCA-branded set-top later this year that will cost around $250 and store up to 150 hours of standard-definition video. That box will have access to content from movie-on-demand service Movielink, says Akimbo CEO Josh Goldman, along with Akimbo's mix of cable network programming and condensed versions of Major League Baseball games. The Akimbo service costs $10 per month, while premium content bears an additional charge.
While AT&T' s Homezone service is due to launch in July, Akimbo's won't be enabled on the service until late September, says Goldman. Akimbo doesn't currently have a deal to provide Internet video to AT&T's full-featured IPTV service, U-verse, but is talking with AT&T about "various platforms and opportunities," says Goldman.
Goldman, who expects that 80% of Akimbo's subscribers will eventually be using the service through an integrated cable or set-top box, adds that Akimbo has also had early discussions about providing content to the MovieBeam video-on-demand service. Cisco is an investor in MovieBeam and manufactures the MovieBeam set-tops, which currently receive content over-the-air but also have the ability to connect to the Internet.
The smarter way to stay on top of broadcasting and cable industry. Sign up below.
Thank you for signing up to Broadcasting & Cable. You will receive a verification email shortly.
There was a problem. Please refresh the page and try again.