Revver
The business, the turning points, and the decisions behind them.
01 / WHAT IT BUILT
What the company did
Revver was a Los Angeles-based video-sharing platform founded in 2004 by Steven Starr, Ian Clark and Oliver Luckett (launched October 29, 2005). It was the first video-sharing site to let creators monetize uploads through ad revenue sharing: its 'RevTag' technology attached a clickable ad to each video file, splitting the ad fee between creator, affiliate and Revver. Backed by over $12 million from investors including Comcast Interactive Capital, Turner Broadcasting, Bessemer, DFJ and Hearst, it paid out its first $1 million to creators in 2007 and struck a distribution deal with Verizon Wireless.
02 / Revver FAILURE REASONS
Why it failed
Revver ran out of money in early 2008 while competing against YouTube and MySpace: it was reportedly shopping itself for $300,000–$500,000 plus assumption of about $1 million in debt, and all three founders had departed by 2007. Its acquirer LiveUniverse immediately abandoned the creator/syndicator revenue-sharing model that was Revver's entire differentiation — triggering a precipitous decline in users — and then stopped paying creators altogether, prompting top providers like ScrewAttack and That Guy with the Glasses to move to blip.tv.
03 / EVENT HISTORY
Events in the structured record
- Founded
Revver was founded in Los Angeles by Steven Starr, Ian Clark and Oliver Luckett.
- Launch
Revver launched as the first video-sharing site with creator ad-revenue sharing, backed by Comcast, Turner and venture investors.
- Acquisition
Revver was sold to LiveUniverse for about $5 million after running out of money; the new owner abandoned the revenue-sharing model.
- Defunct
Revver officially became defunct after LiveUniverse's California status was listed as 'Suspended' in 2010.
04 / CONTEMPORARY REBUILD ASSESSMENT
Difficulty of rebuilding this project today
Material for this section is being gathered and checked. It will appear here once ready.
Overall assessment: Not completed
05 / CAUSAL CHAIN
How the factors connect
- 01
Revver was acquired by LiveUniverse (owned by MySpace co-founder Brad Greenspan) in February 2008 for about $5 million.
- 02
LiveUniverse killed the revenue-sharing model and failed to pay creators, causing mass creator departures.
- 03
The State of California listed LiveUniverse as 'Suspended' in 2010, and Revver officially became defunct on August 20, 2011.