AT&T Inc. (NYSE: T) announced plans to buy video content streamer Quickplay Media Inc. The target is backed by Madison Dearborn Partners.
Quickplay, headquartered in Toronto, provides internet video streaming services that allow users to view content on mobile devices. The target already works with AT&T ‘s U-verse TV Everywhere service and will be able to support DirecTV Now, Direct TV Mobile and DirectTV Preview. With the latter, viewers can stream DirecTV content to any device they want. AT&T, which completed its $48.5 billion acquisition of DirecTV in 2015, is planning on rolling out the service later in 2016.
“We intend to scale and operate an industry-leading distribution platform, and viewers will get the high quality online video viewing experience they desire,” says AT&T CEO John Stankey. Madison Dearborn invested in Quickplay in 2012.
In other similar deals, Rovi Corp. (Nasdaq: ROVI) agreed to buy digital-video recording pioneer TiVo Inc. (Nasdaq: TIVO) and in 2015, Amazon Web Services Inc. bought Elemental Technologies Inc. The latter develops software that enables companies to re-format video produced for traditional broadcast networks so that it can be distributed over the Internet on PCs, smartphones, tablets and TV. Amazon Web Services won Mergers & Acquisitions’ 2015 Mid-Market Award for Deal of the Year.