Viacom and Microsoft Sign Content Deal20 Dec, 2007 By: Chris Tribbey
Viacom, parent of Paramount Pictures, MTV and Comedy Central, has signed an advertising and content deal with Microsoft. The pact runs for five years and is worth an estimated $500 million.
“We are very impressed with how closely Microsoft's business plans complement our strategic objectives,” said Philippe Dauman, president and CEO of Viacom. “This is a novel and comprehensive partnership that demonstrates the scale of our digital operation and the value of our branded content across all distribution platforms.”
Under the deal, Microsoft will license content from Viacom's media companies for use on MSN.com and the Xbox 360, buy advertising on Viacom's networks, and becomes the exclusive seller of advertising Viacom is unable to sell in the United States. The two companies also will work together on sponsorships for award shows, and Viacom will work with Microsoft on publishing video games.
“Viacom's portfolio of original content and strong consumer brand connections are a terrific complement to Microsoft's web, gaming and digital advertising assets,” Kevin Johnson, president of Microsoft's Platforms and Services division, said.