Having raised a seed round of $ 880,000, Startup Company OnTheAir is now being conquered by one of the giants in the Internet world, Yahoo. The funding round was mainly led by True Venture and Scott Banister along with Howard Lindzon, Will Smith, Ben Narasin, and Triple Point Ventures. Eric Ries, the lean startup guru also served as an advisor on the board.
Launched just five months ago, the company mainly deals with video chatting where friends can chat and content producers can webcast various interviews. Web Conferences can be viewed by large audiences and over a live screen. Requests from users can be taken by a host and a split screen chat can be broadcasted in order to interact with them. OnTheAir will soon join the mobile team at Yahoo which can thus be in a better position of competing with other existing hangouts.
“While we haven’t yet attained our dream of building a widespread daily use product, we are just as committed to it. And this is why we’re so excited to be joining Yahoo!. When we first met with the team at Yahoo!, it was clear that everybody there is committed to making mobile products the backbone for the world’s daily habits. All in all, it’s a fascinating time to be joining Yahoo!. There’s a tremendous amount of energy in the company. There are big things to be done and great products to be built, and we’re thrilled to be a part of it.” , a note on the homepage of OnTheAir said, as reported by Techcrunch.
The amount of money that lies behind this acquisition has not yet been disclosed. The startup mainly consists of five founders. They are Eric Goldman, Josh Schwarzapel, Abel Allison, Dan Hopkins and Mike Kerzhner. While Goldman was a former intern at Facebook and an employee at Apple iCloud, Josh Schwarzapel was one of the founding members at Cooliris. Abel Allison was an interaction designer at Meebo and Dan Hopkins was an interaction designer at Gmail. Mike kerzhner on the hand was an engineer at Apple OS.
Fascinatingly, this deal speaks about Yahoo’s seriousness in getting into the M&A game that other internet giants like Google and Facebook has been playing, though it could have easily built its own broadcast system for video chat.