DreamWorks buys YouTube kidsnet

DreamWorks Animation in the US has acquired AwesomenessTV, one of YouTube’s most subscribed-to teen channels, in a deal that could be worth up to US$117m.

AwesomenessTV operates over 55,000 channels on YouTube, hosting comedy, drama and reality content, boasting more than 14 million subscribers and 800 million video views to date.

Brian Robbins, founder and CEO of AwesomenessTV, will remain with the company and will also take on an exec role at the studio to develop a DreamWorks Animation branded digital family channel on YouTube.

DreamWorks has paid US$33m upfront and will be obliged to make additional cash payments from time to time if certain earnings targets are met in 2014 and 2015, with US$117m the maximum amount payable.

The deal comes as the US studio gets closer to launching its own kids’ channel with Fox, according to its CEO, Jeffrey Katzenberg.

It is also currently producing Turbo: Fast, a spin-off from its upcoming movie about a super-powered snail, for Netflix.

“AwesomenessTV is one of the fastest growing content channels on the internet today and our acquisition of this groundbreaking venture will bring incredible momentum to our digital strategy,” said Katzenberg.

“In a very short time, Brian Robbins has built AwesomenessTV into a powerful, next-generation audience network on YouTube,” said Robert Kyncl, global head of content for YouTube.

“DreamWorks Animation’s acquisition is symbolic of the incredible evolution of online entertainment and continues the exciting momentum of creators on the platform.”

For more on the burgeoning YouTube channels space, check out C21’s ongoing YouTube season.