Investment In Legal Peer-to-Peer Trading Platform Ensures Continued Growth and Expansion
MENLO PARK, Calif. 10/26/2005 02:00 PM GMT (TransWorldNews)
Peerflix, an online peer-to-peer (P2P) service that allows members to legally trade DVDs, today announced that its members are currently offering more than 100,000 DVDs for trade on its legal P2P network. Furthermore, Peerflix announced its latest round of funding that will optimize its P2P platform for continued growth. The round was led by Battery Ventures and included follow-on investments from 3i and BV Capital. The investment will be used to develop new product offerings for Peerflix members, scale the companys infrastructure, and deliver the Peerflix experience to more customers in North America.
"We are thrilled to see that DVD owners everywhere are embracing Peerflix as a powerful entertainment community. With over 100,000 DVDs available for trade on our network, members can easily keep their DVD libraries fresh and, for only $0.99 per trade, convert their Sin City into Napoleon Dynamite, The Little Mermaid into The Incredibles or The Sopranos into Sex in the City", said Billy McNair, co-founder of Peerflix.
Peerflix announced general availability of its DVD trading service in September 2005 after a 12-month "beta" development phase. Less than 45 days later, Peerflix members have grown the network to feature more than 100,000 DVDs that include titles from new releases, classics and anime, to comedy, action, childrens and instructional movies. Peerflix itself carries no inventory and does not participate in the transaction: it simply matches people and products while optimizing for trade speed, frequency, and geography.
"Internet users have clearly shown an interest in peer-to-peer media networks, and we believe the Peerflix team has created a compelling offering based on a sound business model. With Peerflix, we see a legal P2P community that provides mainstream movie fans with a new way to get movies without contracts or high monthly fees," said Battery Ventures General Partner Roger Lee, who joins the Peerflix board of directors in conjunction with the financing. "We have spoken with many Peerflix members, and have seen the growing base enjoy the service. Were excited to work closely with the company on the next phase of growth, and believe millions more will jump at the opportunity to use the DVDs they have lying around their homes to get the DVDs they really want to watch."
Peerflix recently announced a patent-pending "PeerMailer" allowing users to turn a normal sized piece of paper into a custom DVD envelope and mail it directly to the peer who has requested it. Peerflix plans to also introduce U.S. Postal Service tracking information so users know exactly where their requested DVD is located at all times.
About Battery Ventures
Founded in 1983, Battery Ventures is a leading venture capital firm focused on investing in technology companies at all stages of growth from seed to later stage and tech buyouts. With a team of over 20 experienced investment professionals, Battery leverages its people, expertise and capital to actively guide companies to category dominance. The firm has invested in over 180 companies worldwide across information technology industries. From its offices in Wellesley, MA and San Mateo, CA the partnership manages over $2 billion in committed capital, including its new fund of $450 million. For more information, visit http://www.battery.com.
Peerflix offers a peer-to-peer online trading platform for physical goods or services. In its first application, the system allows users to legally trade DVDs directly with one another, across a large, decentralized network. Using the Peerflix service, members can get the most out of their DVD collections, maintaining a dynamic and updated library of DVD titles in a cost effective manner. Started in 2004, Peerflix has already grown to become the leading online destination for DVD owners to trade their DVDs. Peerflix is supported by leading venture capital firms including Battery Ventures, BV Capital and 3i. The Peerflix service is currently available in both the United States and Canada. For more information, please visit http://www.peerflix.com