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Newzulu acquires Filemobile for clients, Cloud scale

Newzulu acquires Filemobile for clients, Cloud scale

Australian start-up buys Canadian media company to enter North American market.

Newzulu has entered a binding agreement to acquire Toronto-based media and brand software company, Filemobile, for approximately $5,060,000.

Founded by local entrepreneurs Alexander Hartman and Peter Scarf in June last year, Newzulu is an Australian start-up with a crowd-sourced media platform distributing validated news photos, videos and text.

Newzulu co-founder and executive Chairman Alex Hartman, said the acquisition is a “very substantial step” forward for the start-up in the North American market.

“We had planned to organically develop our business in North America, but with the acquisition of Filemobile we have an instant footprint there,” he said.

“They have a client base that is highly complimentary to ours, our business has been very European focused, and now we have a major footprint and client base in North America.”

Filemobile’s list of clients include Fox News, Wall Street Journal, USA Today in media and brands such as Craft, Honda, and JC Penny.

Hartman said Filemobile also has a clients in the UK, and even in Australia with Network Ten.

Software development know-how

Beyond the client base, Hartman said Filemobile’s technological capabilities around user-generated content and social media marketing stood out.

“They are experts in scaling content services, with customers like the weather channel and network,” he said.

“When there is a storm or major weather event, there are major peaks in their traffic.”

Hartman adds Filemobile’s ability to handle scale in the Cloud was also appealing to Newzulu.

“Technologically, we think they bring a lot to the table for us,” he said.

Filemobile has 14 software engineers based in Toronto, and Hartman said the team complements Newzulu’s existing software development group based in Paris.

“Being a Canadian company, they are bilingual in English and French as well, so that is helpful to us,” he said.

Patrick Budmar covers consumer and enterprise technology breaking news for IDG Communications. Follow Patrick on Twitter at @patrick_budmar.

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