Vimeo drops original content expansion for VOD service
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Joseph O'Halloran
| 27 June 2017

Despite having committed tens of millions of dollars over the last three years to offer an alternative to the likes of Netflix, Amazon and Hulu, Vimeo has called a halt to its plans for a subscription video-on-demand (SVOD) offer with original content.

The online video provider first launched a video-on-demand (VOD) service, Vimeo On Demand, in 2013 offering an open direct distribution platform that enables creators to sell work on their own terms by choosing their price, viewing format, and geographical availability while retaining full ownership of their work. In March 2014, Vimeo gave the service a $10 million cash injection to fund a global expansion of support for creators selling their work directly online. This included website development and translation services, in exchange for distributing their content on Vimeo On Demand. Vimeo currently attracts over 213 million unique monthly viewers and over 45 million registered users.

An expanded service featuring original content was designed to roll out in 2018, with Interim CEO and chief executive of parent company IAC, Joey Levin promising in Autumn 2016 tens of millions of dollars’ worth of original and licensed programming in what was called a ‘robust’ slate. At the time the company also hired a director of content development and director of content acquisitions. But Levin has now announced that the company will not go ahead with its plans. “This was a difficult decision – the idea of pursuing an SVOD service for Vimeo has always been intriguing,” commented. “The opportunity ahead for Vimeo to empower creators is too large and too important for us to attack with anything other than absolute focus and clarity.”

Only weeks ago, Vimeo enhanced its over-the-top (OTT) product, VHX, with ad-supported video for VHX-powered partner channels. Features include the ability to integrate ad-supported videos with Google DoubleClick for Publishers (DFP); player SDKs for web, iOS, and Android to build custom OTT apps; in-app subscriptions APIs for iOS, Android and Roku; full support for Google Widevine, Microsoft PlayReady, Apple Fairplay and other studio-approved DRM systems; bulk video ingestion; and a metadata API.