Yahoo! is looking to invest in a major stake in the Dailymotion according to new reports.
The Wall Street Journal claims sources close to the matter informed them the Internet giant is looking at buying a controlling stake of as much as 75% in the hugely popular online video site.
Any move for the Dailymotion on Yahoo!’s part would mark Marissa Mayer’s first major acquisition since taking over as head honcho of the search engine giant last July.
Ms Mayer has always emphasised the firm needs to look overseas in order to allow it to grow in the future and the acquisition of Dailymotion would go some way to address this.
At an analyst conference in February, she said: “One of the challenges in Yahoo!’s business is that we are primarily domestic and we don’t have enough of our business running it from an international basis.”
Owned by the French telecommunications giant, France Telecom-Orange, the video site has been valued at more than $300 million.
The firm, which bought a 49% stake in Dailymotion in 2011 before upping its stake to 100% earlier this year – bringing the total cost of the deal to around $164m – refused to comment on the speculation.
Dailymotion managing director, Roland Hamilton, issued a statement on the rumours which read: “We are unable to confirm, deny or comment on speculation regarding potential talks between Yahoo! and Orange at this time.”
With content marketing currently all the rage in the Internet marketing business, there has been an ever-increasing push for visually engaging content, and with more content comes the potential for more ads.
The move would echo that of Yahoo!’s rival, Google, which purchased video sharing site YouTube for $1.65bn back in 2006.
Last year, Allthingsd estimated in article that, in 2012, Google would generate more than $3.6bn in gross revenue from the site, although the firm itself has always been tight-lipped on such matters.
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