Monday, February 25, 2008

DivX Kills Stage6.com

San Diego-based DivX said this morning that it plans to shut down Stage6.com, the firm's online user-generated video sharing service. According to DivX, it will shut down the site at the end of the month, on February 28th. The firm said the move came because the company wanted to focus on its core DivX technology licensing business. DivX has been trying to sell the Stage6 site since July of 2007, when it broke the site out as its own operation. Stage6.com was being managed by Jordan Greenhall, co-founder of DivX. In July, when it split out Stage6 as its own business, the firm said that the site had been impacting its operating expenses, and that the site required significant, additional financing in order to continue traffic growth.

---