Verizon Bolstering Mobile Video With Investment In Millennial-focused AwesomnessTV

Verizon Communications Inc. said on Wednesday it will bolster its mobile-only streaming service go90 through an investment in AwesomenessTV. The investment, which gives Verizon a 24.5% equity stake in the company, will value the multi-platform media and entertainment company at about $650 million, according to a news release. AwesomenessTV is a talent management and digital content creator targeted toward the millennial generation and younger. AwesomenessTV began in 2012 as part of YouTube's push for original content and was acquired by DreamWorks Animation , which still holds the controlling 51% interest, a year later for $33 million. The company then partnered with the Hearst Corp., which holds the remaining 24.5%. The new premium service from Verizon and AwesomenessTV will feature short-form content produced by top Hollywood talent and will initially be exclusive to Verizon platforms in the U.S., according to a release. The transaction is expected to close in the next 60 days. Verizon shares were up slightly in pre-market trade and are up nearly 16% in the year so far.