Report: Yahoo drops Dailymotion deal in face of French opposition

The French government was opposed to letting Yahoo take a majority stake in the online video site

Yahoo has scrapped plans to invest in French online video site Dailymotion, after the French government opposed the Internet giant acquiring a majority stake in the company, according to reports.

French Industry Minister Arnaud Montebourg told Yahoo chief operating officer Henrique de Castro and France Telecom chief financial officer Gervais Pellissier during a meeting in April that he did not want a 75 percent stake in one of France's best startups to be sold to a U.S. Internet giant, The Wall Street Journal reported, citing people briefed on the meeting.

The deal would have valued Dailymotion at US$300 million, according to the newspaper.

Earlier, French news reports had also indicated that the French government was opposed to Yahoo acquiring a majority stake in the company.

France Telecom bought 49 percent of Dailymotion in 2011, to meet increasing demand from customers for video content on mobile devices. The agreement provided for a progressive capital increase to 100 percent in 2013, which was completed earlier this year, and "the integration of new business partners."

To save the deal, France Telecom executives and government officials tried to turn it into a 50:50 partnership, which the U.S. company declined last week, WSJ reported.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags Mergers and acquisitionsinternetbusiness issuesvideotelecommunicationYahooCarriersInternet-based applications and servicesFrance TelecomDailymotion

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

John Ribeiro

IDG News Service
Show Comments

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?