Warner Bros. to Acquire Rotten Tomatoes Owner Flixster
NEW YORK -- Time Warner's Warner Bros. Home Entertainment Group on Wednesday said it has agreed to acquire Flixster, the movie discovery service with over 25 million worldwide users per month that also includes film review site Rotten Tomatoes.
Under its new owner, Flixster will expand its services beyond movie discovery to enable digital content ownership and delivery across connected digital devices.
Financial terms weren't disclosed, but the deal was expected to cost TW $60 million-$90 million.
Warner Bros. Home Entertainment Group said it will use the Flixster brand and its technical expertise to launch "a number of initiatives to grow digital content ownership," including a recently announced consumer application called Digital Everywhere.
The studio-agnostic application "will be the ultimate destination for consumers to organize and access their entire digital library from anywhere on the device of their choice, as well as to share recommendations and discover new content," the company said.
“Driving the growth of digital ownership is a central, strategic focus for Warner Bros.,” said Kevin Tsujihara, president, Warner Bros. Home Entertainment Group and office of the president, Warner Bros. Entertainment. “The acquisition of Flixster will allow us to advance that strategy and promote initiatives that will help grow digital ownership.”
Under the terms of the deal, Flixster will continue to operate independently.
The Flixster team will stay in San Francisco, and the Rotten Tomatoes team will continue to work independently from Los Angeles.
"We're excited that Warner was willing to make this kind of commitment to a leading independent consumer platform," said Joe Greenstein, co-founder and CEO of Flixster. "We look forward to working with Warner as well as each of the other studios to innovate and build products that users will love."