VideoEgg isn't interested in competing with the video giants, focusing more on delivering video, and potentially monetized video, to websites (small to enterprise). They have partnerships with several big names already, including AOL, Bebo, Tagged and Current.tv. They recently got a jolt of VC love from Maveron:
Seeing riches in the Web's sudden emergence as a mainstream vehicle for video, a venture capital firm co-founded by Starbucks Chairman Howard Schulz has agreed to invest millions in startup VideoEgg, BusinessWeek.com has learned. The round of investment is being led by Maveron, a $600 million VC firm based in Seattle. It also includes Silicon Valley's August Capital, whose latest fund has about $550 million. Several unnamed private investors are joining the round.
This isn't VideoEgg's first dip in VC money. In the current round, the inflow will be $12M. While the guesstimation is that the VCs will hold a stake of around 20%, we expect an announcement sometime today to clarify the nasty details.The company was started last year by three Yale grads who had previously created a non-profit company that encouraged filmmakers to create PSAs. I'd wish them the best of luck, but looks like they don't need it!
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