BROOMFIELD, Colo.—Level 3 Communications Inc. said Wednesday that its operating subsidiary acquired Servecast Limited, an on-demand video and streaming services provider based in Dublin, Ireland, for $45 million cash.
Level 3, based in Broomfield, planned to keep Servecast’s headquarters and broadcast operations center in Dublin and Servecast’s data centers in London and Amsterdam.
The communications network operator also planned to incorporate Servecast’s streaming server sites in Europe and North America into its own network.
“Servecast’s video and rights management platform, combined with its streaming services complement Level 3’s existing portfolio of content delivery capabilities,” said Brady Rafuse, president of Level 3’s Content Markets Group and European Markets Group.
“The addition of these services accelerates our planned development of this technology. These capabilities will enable us to manage and distribute online video content in multiple formats to meet the increasing demand for high-quality video over the Internet,” he said.
Servecast CEO Darach Deehan said Level 3’s presence across Europe and North America would provide Servecast customers a chance to access new markets.
Servecast had about $5 million in revenue last year.
Level 3 reported $3.38 billion in revenue in 2006 and net losses of $744 million.
