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March 20, 2013

Yahoo eyeing majority stake in online video website Dailymotion

The move would instantly make Yahoo a bigger player in Web video outside the US.

By CBR Staff Writer

Yahoo is reportedly in talks to acquire a controlling stake in Dailymotion, which could be company’s largest deal since its new CEO Marissa Mayer took charge in July 2012.

As part of the deal, Yahoo would acquire about 75% of online video website, which is owned by French telecommunications company France Telecom-Orange.

According to a report from the Wall Street Journal, Dailymotion could be valued at around $300m, and the deal is expected to help Yahoo in expanding its base in online video in parts of Europe and Asia.

Dailymotion managing director, Roland Hamilton said: "We are unable to confirm, deny or comment on speculation regarding potential talks between Yahoo and Orange at this time."

Dailymotion, which is similar to Google’s YouTube, is expected to instantly make Yahoo a bigger player in Web video outside the US, where the firms expect rapid growth.

Dailymotion claims to be the 12th largest video website in the world and comprises both user-uploaded videos and has also commenced financing the development of high-quality content for the site.

In 2012, Dailymotion revealed that the company had signed a deal with Yahoo to view its videos on Yahoo sites.

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