Machinima Adds a Big New Distribution Platform in XBox Live

Expanding to a Distribution Platform Beyond Its YouTube Stronghold

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Machinima -- one of the largest channels on the world's largest video platform, YouTube -- is now available without a computer, by way of Xbox Live.

Machinima's 'Two Best Friends Play'
Machinima's 'Two Best Friends Play'

The video entertainment network is already available on iOS and Android apps, but the deal represents its first expansion to a big distribution network beyond YouTube itself. It's also the first time that Xbox Live has simultaneously introduced an app in all of its 41 global markets.

While Machinima is expanding -- the move actually began late last month -- its arrival on Xbox is also a bit of a return of the company's roots: Machinima started out by posting video content related to Xbox video game "Halo." It later grew to encompass all aspects of "geek" culture -- graphic novels, superhero movies and hit TV shows like "The Walking Dead."

Machinima was one of the 100 YouTube channels to previously receive Google funding in order to grow its programming. Its size also makes it a likely candidate to become one of the few YouTube channels likely to move to a paid subscription model now that YouTube is introducing that capability. But YouTube supported the new deal taking Machinima to an additional distributor, according to Machinima CEO and co-founder Allen DeBevoise. "YouTube understands that our brand needs to be multi-platform," he said.

Advertisers will be able to buy pre-roll ads and custom skins on the Xbox app, with Microsoft selling the typical ad inventory and Machinima focusing on deeper brand integrations as well as marketing the app itself. Machinima declined to describe how any revenue from advertising will be split.

Machinima said it reaches more than 210 million viewers per month on YouTube alone. It is unclear, however, if moving to Xbox will significantly expand its audience or mostly let existing Machinima fans access the channel in a new spot.

"Obviously the Xbox is very close to our audience. and with any kind of network we want to be on every kind of platform," Mr. DeBevoise said.

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