Vid.ly's Success Translates into Expansion for Encoding.com
Startup online video encoding service Encoding.com has raised $2 million to support the company’s rapid expansion and the widespread acceptance of its new Vid.ly universal video URL service.
Earlier this year, Encoding.com launched the Vid.ly service that transcodes video to 14 popular Web and mobile formats so that users can view videos on their smartphones, tablets and most any of today’s devices. The service returns a link with a short URL to retrieve the compatible video file after the encoding, meaning that users only have to download a video once to watch it on their favorite device and format.
Encoding.com will use the funding to create new products and to scale customer acquisition efforts across big media and entertainment, online education, video platforms and video application developers worldwide. The company recently released a new feature called Instant Encoding that starts encoding or transcoding video to a different format as soon as the video file begins to upload, reducing the time of the encoding process by half.
The funding comes in part from angel investors including Patrick Condon, the co-founder of Rackspace.
“We were thrilled to see 500-percent growth in monthly recurring revenues in 2010 and have been blown away with the initial market response for our new Vid.ly service from leading media brands, agencies, and application developers,” said Marc Michel, partner with another investor behind the funding, Metamorphic VC. “By ensuring that videos can be viewed on all mobile devices and browsers in the market, Encoding.com is solving a critical pain point in the rapidly expanding broadband video services space.”