paidContent is reporting that the Christian video sharing site GodTube has received a $30 million funding round
from hedge fund GLG Partners that values the startup at around $150 million.
While that's only halfway to the valuations that online ad networks have been seeing lately, either in takeout situations like Adify's or big venture rounds like Federated Media's, it's impressive for a company that's less than a year old.
The valuation sounds a bit high given the site's 2 million monthly uniques. By comparison, Meebo has 29 million active users of its texting service and just raised a round with a $200 million valuation. GodTube will have to spread its message of live streaming media to a lot more churches to justify its price down the road.
The round also shows that the power of social networks can be applied to a wide range of communities and markets, some of which may hold profit potential not seen at first glance.
More from the report: GodTube has previously raised about $2.5 million from private investors, including Norm Miller of Interstate Batteries.
GodTube was launched in summer last year in Dallas, and has since been among the fastest growing websites online...it now says it has about 2 million users a month. Chris Wyatt, the CEO and co-founder of GodTube, was previously an executive producer at CBS.
The company has since
hired other senior media executives. As for its business model, its
Godcaster program is being used few hundred churches, thus generating
subscription revenues, and allows them to stream live video of their
services online. In the coming months, the company will also launch a
white-label social networking service to churches as well. Also, the
site sells both religious and secular advertising.
