AfterDawn: News

Veoh founder confirms bankruptcy and liquidation

Confirming yesterday's reports that the company was headed directly to bankruptcy, Veoh founder Dmitry Shapiro has said that the company would be liquidating and filing Chapter 7 bankruptcy.

Says Shapiro, speaking about the lawsuit Universal Music Group filed against them in 2008: "The distraction of the legal battles, and the challenges of the broader macro-economic climate have led to our Chapter 7 bankruptcy."



Chapter 7, unlike Chapter 11 usually means the company is shutdown for good, rather than reorganized. The liquidation confirms that.

Private investors had invested $70 million in the streaming site.

Written by: Andre Yoskowitz @ 12 Feb 2010 22:51

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• 4 comments

• Tristan_2

  let us all have a moment of silence for despite it ran with corporations Veoh was fair to its equal members and consistent to the corps and users alike unlike Youtube....Veoh RIP you will hopefully never be forgotten in the pages of history.

  13.2.2010 08:55 #1

• georgeluv

  moral of the story? if your going to make a site that (secretly) allows piracy, don't half ass it!
  
  and also don't invest 70 million in it!

  13.2.2010 18:08 #2

• JetLag

  Originally posted by georgeluv: moral of the story? if your going to make a site that (secretly) allows piracy, don't half ass it!
  and also don't invest 70 million in it!...."(secretly) allows piracy". You're sitting on a pretty high horse. Do you have any idea the resources required to monitor the multitude of uploads? and they did a pretty good job of it for the most part.
  
  Veoh is/ was a great idea and if it were not for the current economy and lack of advertising dollars available it could have been a great success. In case you haven't noticed, there are decades-old newspapers and magazines also going bankrupt.

  13.2.2010 21:36 #3

• chrialex

  I started using Fancast a while back, and found I like it better for TV shows than Veoh. The quality is great, selection is awesome (shows are on same night or next day usually) and best of all, it is free (with a handful of short, <30sec, ads over the course of an hour long show. And it has the approval of the networks so you don't have to worry about a lawsuit shutting them down...

  23.2.2010 21:46 #4