RedLasso, the King of Prussia, Pa.-based company whose technology allows bloggers to embed clips from local and national television networks, is in the market for $15 million in new VC funding, peHUB has learned.
“We’re looking not just for capital, but smart capital,” explains RedLasso CEO Ken Hayward. “We need to be aligned with an investor who brings an air of trustworthiness within the media industry, to help us show that we’re a friend to the content producer… that we’re a solution provider.”
If you’ve never seen Red Lasso in action, here’s a clip I pulled from CNBC this morning: [lasso=e9bfd360-a0d6-4786-84ff-88e4628cb89f home=true]
Red Lasso is currently taping and distributing such content via an interpretation of fair use. Specifically, it only gives usage permission to news and infotainment bloggers, who theoretically transform the clip by commenting on it or providing other context. It’s obviously a very fine line to walk, as that doesn’t feel too different from taping something and dumping it into Brightcove or another video host.
Hayward understands the underlying issue, and says that RedLasso is currently in licensing talks with dozens of televised content providers. The carrot he’s offering is monetization, as RedLasso could embed advertising within the clips. It would then take a cut for itself, and then divy up the rest among the network and the blogger.
Red Lasso to date as raised $7.9 million in VC funding, from firms like Anthem Capital, Osage Ventures and Guggenheim Opportunities Investors. It also raised seed funding from angels like Pat Croce, and has $1.5 million in bridge financing pending milestones. The company is expecting around $500,000 in 2008 revenue, and $9 million next year.