Report: AT&T plans to buy all of Otter Media
Photo: Kena Betancur/AFP/Getty Images
AT&T is on a media acquisition spree with Otter Media, the digital video company currently owned by AT&T and media holding company The Chernin Group, as its next target. Sources tell Recode that AT&T plans to buy out Chernin’s stake in the company.
Why it matters: AT&T needs content to build out its new digital advertising and streaming businesses — ventures that will be created in light of its successful acquisition last week of Time Warner Inc.
- Cheddar reported Tuesday that AT&T is looking to acquire AppNexus, one of the largest privately-owned ad exchanges, to bolster is digital advertising efforts.
- And AT&T CEO Randall Stephenson teased several upcoming acquisitions in a CNBC interview last week.
The details: Otter Media is reportedly valued around $1 billion. Its assets include a streaming video company called Fullscreen and a subscription video product. According to Recode, the deal is expected to close this summer.