Vimeo Acquires Subscription Video Platform VHX

Vimeo CEO Kerry Trainor

The WME-backed startup provided the technology for the digital sale of Foo Fighters' 'Sonic Highways.'

Vimeo is responding to the growing appetite for subscription video with an acquisition that bolsters its offerings to creators in that arena. 

The IAC-owned streaming site has acquired VHX, a self-service video distribution platform that has built a reputation for its subscription technology. Terms of the deal were not disclosed. 

Founded in 2011, VHX launched began testing its self-distribution technology in 2012 after it provided backbone for Aziz Ansari's 2012 comedy special, which he sold directly to his fans. The New York-based company, which counts WME as an early investor, also has provided technology to rock band Foo Fighters for the digital sale of Sound City and Sonic Highways.

But like many streaming companies, VHX has recently begun to focus on its subscription technology, which allows creators to launch their own networks a la Netflix or Hulu. 

It's that technology that Vimeo, known for the web series High Maintenance, was attracted to, says Vimeo CEO Kerry Trainor. "What VHX brings is a whole new level of service for creators looking to sell video on a subscription basis," he tells The Hollywood Reporter. They built a really high-quality product that's easy to use from the creator's perspective as well as from the viewer's perspective." 

VHX's subscription technology includes the capability to build apps for the web, mobile and set-top boxes like Apple TV and Roku. 

Vimeo's network of creators will now have access to these subscription offerings as well as Vimeo's On Demand selling platform.  

VHX co-founder Jamie Wilkinson will report to Trainor, and the 22-person VHX team will move into Vimeo's New York office. 

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