Crowd sourced media company Newzulu Limited (ASX:NWZ) will look to increased revenues for its editorial business after reaching a key content syndication agreement with UK-based independent global video news agency Videoplugger.
Newzulu has grown a global community of reporters, photographers, and videographers in 198 countries over the last eight years.
Today's agreement further positions the company to capitalise on the growing trend for video content gathering and gaining editorial story validation.
The revenue boost is expected from the date that Newzulu's crowd-sourced video content is distributed to Videoplugger's extensive international client network.
Videoplugger specialises in the syndication of much watched celebrity, showbiz and sports-related online video content for media and commercial use worldwide.
The Agreement covers terms for distribution and licensing of Newzulu content by Videoplugger on a non-exclusive basis, with a focus on high-quality, validated crowd-sourced video.
Alexander Hartman, Newzulu's executive chairman, said:
"The company is pleased to partner with Videoplugger, one of the world's leading platforms for video news distribution, to expand the reach of Newzulu and Citizenside content to publishers and broadcasters worldwide.
"Through the company's partnership with Videoplugger, Newzulu contributors have an expanded capability to get published and paid for video news submissions through Newzulu's web and mobile platforms."
Emanuele Galloni, Videoplugger's chief executive officer, added:
"We have long been impressed with pioneering Citizenside now Newzulu and are thrilled by the potential that this new cooperation represents. We expect this to be a mutually beneficial partnership, thanks to Newzulu's unique crowd-sourced content and the added value of our global connections and industry expertise."
Newzulu Live is unique as the world's first crowd-sourced, livestreaming news service.
Newzulu enables a 150,000-strong community of contributors to report the news as it breaks.
As importantly, Newzulu's editors are understood to validate every contribution to the highest journalistic standards before sending it to partners' systems. Metadata checks are performed on all contributions and with comprehensive story verification.
Newzulu signed a long-term strategic partnership agreement for news and multimedia distribution, syndication and sales with Tribune Content Agency, part of the long established media company Tribune Publishing. Tribune's network of 2,000 contributors should maximize audience reach, advertising revenues and content license fees.
The content syndication deal with Videoplugger is significant given it gathers and distributes the latest video news to media professionals every day in the high demand areas of red carpet footage to paparazzi clips, from royals to public figures, fashion and sport related content and interviews.
This should lead to an increase in revenues for Newzulu as a result and another sign that its content gathering is gaining editorial story validation.
Indeed, networking giant Cisco (NASDAQ:CSCO) has forecast that consumer internet video traffic will make up 80% of all consumer Internet traffic in 2019, up from 64% in 2014.
A significant part of this is expected to include news content.
Software developer Adobe (NASDAQ:ADBE) has also noted that 38.2 billion free videos were watched online in the second quarter of 2014, up 43% over the same quarter the previous year.
Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX emerging companies with distribution in Australia, UK, North America and Hong Kong / China.