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Yahoo acquires video chat firm OnTheAir

In order to boost Yahoo's mobile offering, the firm says it has acquired a video chat company.
charlie-osborne
Written by Charlie Osborne, Contributing Writer on

On Tuesday, Yahoo announced the acquisition of video communication software firm OnTheAir, Reuters reports.

OnTheAir is Joining Forces with Yahoo!

The small, five-person startup firm was launched in March, and allows users to host video conversations in a "television talk show" setting, where members of a group can be called "on stage" by a host while being watched by anyone with a video stream.

No financial terms have been disclosed about the deal.

The deal with Yahoo means that OnTheAir staff will join Yahoo's mobile group, who acquired another small startup in October, Stamped, which lets users share about mobile recommendations. The nine-person team have now discontinued their product, and say that they will be working on new projects in a purpose-built engineering office within NYC's Bryant Park.

This is the second acquisition of a mobile startup made by new Chief Executive Marissa Mayer, who wants to increase Yahoo's mobile capabilities. In business, mobility is becoming a strong avenue for monetization, and the CEO has previously said that eventually she hopes half of Yahoo's staff will be working on mobile products.

The second purchase of a mobile startup may indicate that talent poaching is part of Yahoo's wider plan to develop branded mobile products in order to attract a fresh wave of consumers in the long run. Earlier this year, potentially towards this goal, Yahoo and Japanese social gaming firm DeNA extended collaborative efforts to bring social gaming across PC and mobile efforts. 

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