Noah J Nelson on Tuesday, Mar. 11th
After three rounds of layoffs and assurances that a new CEO is about to be selected the last thing you might expect from Machinima is an announcement that another $18 million in venture capital is headed their way.
That’s exactly what we got today, with word that Warner Bros. is leading the round of funding, showing faith in the currently restructuring Multi-Channel Network. From GamesIndustry International:
“Machinima has been a pioneer and category leader in the YouTube MCN space, with thousands of channel partners and a premium brand that reaches millions of daily users,” said Warner Bros. Entertainment’s Thomas Gewecke.
“We’ve been impressed with Machinima as a distribution partner, and by their focus on creators and commitment to high quality, exciting original digital content.”
MK Capital, Redpoint Ventures, and Google Capital, all existing investors, took part in the funding.
Joshua Cohen of Tubefilter reports that this cash isn’t as much as the MCN was hoping for:
Machinima was reportedly eying a much bigger financing round in the ballpark of $50 million, but apparently wasn’t able to secure that much cash amidst a number of setbacks.
Machinima is in a serious transition at the moment, with most of the core leadership team gone or on the way out. The MCN that emerges in the next few months could be very different from the one that once sat atop the YouTube charts.