Thanks to three well-timed buyouts, there’s a new player in the social video scene: KIT Digital has just purchased KickApps, Kewego and Kyte – three previously unrelated companies based out of different cities – and promoted former employees of those companies into newly-created positions within the new parent.
KIT, which already provides on-demand cloud-based video solutions for clients including Disney, Vodaphone and Google, says that the purchases accelerate the company’s tech growth by 12-18 months, while also growing market share. KIT Digital president Gavin Campion is convinced customers will feel the benefit quickly:
As important as the extended market reach and financial contribution these acquisitions provide, they demonstrate our commitment to ensuring that our ‘VX-one’ video management platform has market-leading functionality which helps our clients realize value across the video distribution value chain, from securing and capturing the right content to delivering it across multiple channels and social communities… “In fact, we believe our customers, both pre-existing and newly acquired, are going to be very pleased with the significant benefits they will enjoy in terms of new and enhanced features appearing in VX-one—particularly in terms of social media, mobile publishing and behind-the-firewall implementations.
Together, the three companies cost approximately $77.2 million, with the deals closing separately over the last week; the three companies made approximately $25 million between them last year, but have been growing between 20-35% historically, according to KIT. As part of the purchase, KickApps CEO Alex Blum will become Global COO of KIT Digital, while KickApps CFO David Later becomes the company’s SVP Finance and Administration. Meanwhile, Kyte’s co-founder Erik Abair becomes KIT’s senior director of software development, while the same company’s COO Gannon Hall takes over the role of KIT SVP of global marketing.
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