Today it was announced that Viacom is buying Pluto TV for $340 million in cash. This deal will give Viacom full control over Pluto TV and its future. For some time now Viacom has hinted at plans for a free streaming service now it seems that buying Pluto TV is how they will do it.
“Today marks an important step forward in Viacom’s evolution, as we work to move both our company and the industry forward. Pluto TV’s unique and market-leading product, combined with Viacom’s brands, content, advanced advertising capabilities and global scale, creates a great opportunity for consumers, partners and Viacom,” said Viacom CEO Bob Bakish.
“As the video marketplace continues to segment, we see an opportunity to support the ecosystem in creating products at a broad range of price points, including free,” Bakish said. “ To that end, we see significant white space in the ad-supported streaming market and are excited to work with the talented Pluto TV team, and a broad range of Viacom partners, to accelerate its growth in the U.S. and all over the world.”
Pluto TV CEO and co-founder Tom Ryan will continue to serve as CEO of Pluto TV, which will operate as an independent subsidiary of Viacom after the deal closes. The deal is expected to close later this quarter.
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