CNN reports that ex-Dreamworks CEO Jeffrey Katzenberg closed a $1B funding round for WndrCo’s (his holdings company) “NewTV,” a mobile video platform that will specialize in short-form content.
Disney, 21st Century Fox, Warner Bros., Entertainment One and other media companies made a combined $200m investment, while other investors from the US and China made up the rest.
They also have a big name running the ship
In January, Katzenberg’s video startup snatched Meg Whitman (ex-CEO of Hewlett Packard Enterprises) to be the company’s CEO.
Meanwhile, last fall, an SEC filing revealed Katzenberg’s WndrCo was looking to raise as much as $2B, and in May Bloomberg reported that NewTV had raised $800m.
A mobile media company? Now? Really?
In the age of ‘premium’ mobile content platforms coming and going faster than it takes to watch a Kardashian Snap story, it’s unclear why studios believe NewTV is worth the $1B investment.
In the past 2 years once-lauded media companies like Seeso, Fullscreen, and Go90 have all met their demise — but these companies didn’t have Katzenberg.
And, with his legendary success at movie meccas like Paramount, Disney, and Dreamworks, that may be all that was needed to validate the check.