Web video growing again according to an August 9, 2010 article on Tubefilter News (http://news.tubefilter.tv/2010/08/09/my-damn-channel-tacks-on-4-4m-investors-bullish-again-on-web-series/), investor interest in original web programming has started to grow again during the second half of this year.
In addition to introducing its largest collection of original web series programming so far, the online network My Damn Channel just announced closing a fundraising round totaling $4.4 million.
The channel joins Machinima.com and Next New Networks as online content networks that have raised substantial money this year. My Damn Channel has achieved most success from its original content offerings, which are the favorites of online investors.
The network’s doing well enough to form plans to add staff in its sales and business development departments. Tubefilter reporter Marc Hustvedt asked My Damn Channel CEO Rob Barnett to speculate on how soon original web content may produce a sustainable, profitable business model, and reports this reply:
“Our original video world is only sustainable and profitable if you run a business well,” said Barnett. “We believe the best content wins. And you’ve got to diversify revenue streams. We’re fueled by display advertising, branded entertainment deals, licensing of our content to all digital platforms—and soon by premium paid programming in Q4.”
Barnett added that he [has seen] the number of branded deals increase over the past few months, [and]
“the size of these deals is also building as more brands realize the need to tap the bajillions of video views happening every minute.”
Recent growth in online viewership sparks interest from big brand names, which means online ad spending is going up too. Automakers, for example, are making big forays into the online advertising arena.
eMarketer projects $1.4 billion to be spent in online video ads during 2010. Keep your eyes open for more information about this trend.