Online video company to make $100M in advertising contract, good internet marketing
The online video company called GoDaddy announced Tuesday that it will make $80 million in a $1.6 billion deal to market its own online video service.
The $1 billion deal includes a one-time payment of $75 million for an initial public offering.
GoDaddy also plans to sell advertising and sponsorship rights to the video service, which would allow the company to rake in $50 million a year from the ads.
GoDaddy is a private company that makes websites, software and other services.
The company was founded in 2004 by billionaire Mark Cuban.
Go Daddy said it was the first online video startup to make a deal with a publicly traded company.
The company was expected to offer its service to consumers in a limited capacity for the first time, but it had already scaled up in terms of traffic and traffic volume.
GoDaP is GoDaddy’s only remaining online video business.
Go Daddy also is developing a rival service called GoVideo that is expected to be available to consumers this year.
GoVideo has more than 2.4 million users and will be the first video service to compete with GoDaddy in the marketplace, said Chris Roberts, the company’s chief executive officer.