PCCW OTT goes on air with $110m

The video and music streaming services provider has collected capital from strategic investors including Temasek, Foxconn and Legend Holdings.

PCCW OTT, a China-based operator of music and video streaming platforms, raised $110m yesterday from investors including Singapore state-owned investment firm Temasek.

The round also included Hony Capital, the private equity arm of conglomerate Legend Holdings, and Foxconn Ventures, the investment subsidiary of contract electronics manufacturer Foxconn. The three investors will hold an approximate 18% stake between them.

PCCW OTT operates three over-the-top (that is, internet-only) media and entertainment platforms, such as video streaming services Viu, which focuses on Asian content with local language subtitles that is available from four hours after initial broadcast on television.

Its platform Vuclip offers short video content, while Moov allows users to stream music. The company owns a range of patents related to video streaming and encoding technologies to ensure users can consume content without waiting for it to buffer.

The company was launched by mass media corporation PCCW through its entertainment unit PCCW Media, which retains a majority stake.

The funding round serves as a strategic investment, with PCCW OTT hoping the three partners can assist with an expansion in existing markets and into additional countries. The company also hopes to produce more original content.

Janice Lee, managing director of PCCW Media, said: “We are very excited to have Hony, Foxconn and Temasek join us as strategic shareholders.

“Bringing these reputable partners in the business will support our current plans and strengthen our leading position in the market with the introduction of more locally relevant and original content, and technology to support innovative product development – all of which are beneficial to our ecosystem comprised of users, advertisers and business partners."

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