Orange, Canal+ end Dailymotion talks
June 10, 2014
From Pascale Paoli-Lebailly in Paris
Talks between Orange and pay-TV group Canal+ over a possible investment by Canal+ into video sharing platform Dailymotion have failed, reports French daily Les Echos.
Dailymotion, owned by Orange, is seeking backing from a powerful partner to finance its development and extend to the US market.
Both groups have been unable to agree on the stake that Canal+ would own in Dailymotion. Bertrand Meheut’s group preferred to take a majority while Orange is looking for a minority partner.
Les Echos also adds that Orange and Canal+ had conflicting ideas on the future business model of Dailymotion.
Orange CEO Stéphane Richard confirmed in February his group was talking with Microsoft to set up an industrial partnership with the video sharing platform. But with investment talks hitting a dead-end, they could also make third-party negotiations with US group Microsoft fail too.
Last spring, Dailymotion was near to closing a deal with Yahoo, which expected to take 75 per cent stake, with an option later for 100 per cent. The French government then opposed this deal, stating that at least 50 per cent of Dailymotion had to remain owned by a French group.
French State owns 27 per cent of Orange.