Warner Bros. Entertainment has upped its investment in Machinima, leading a $24 million round of financing for the online video network.
Machinima, the first global Many2Many programming service is focused on fandom and gamer culture.
Also joining WB in the $24 million round are original investors Redpoint Ventures and MK Capital, along with Coffin Capital and Allen DeBevoise. Google was an early investor in Machinima.
“In 2014, Machinima regained our leadership position in the global digital video marketplace by focusing on our Talent Network and transforming our brand into one that is reflective of our content, our audience and our community of creators. This additional funding will enable Machinima to accelerate our growth through increased investments in content and technology that better serves our audiences, advertisers, creators and distributors,” said Machinima CEO Chad Gutstein.
“Under Chad’s leadership, Machinima continues to grow as a key entertainment destination for millennials. With its enormous fan base, Machinima is an important exhibition partner, providing content creators, including Warner Bros., multiple platforms for distributing and monetising digital content and programming brands,” said Warner Bros. Television Group president for business and strategy Craig Hunegs.
The recent funding has led the company to lay-off 13 of its 90 people workforce.
The terminated jobs, which represent 14 percent of its workforce, are production positions tied to the now discontinued programming which the company said was not supporting the “path to profitability.”
Machinima has undergone multiple rounds of layoffs in recent years, but this is the first since CEO Chad Gutstein took over last March.