Jossip is reporting that corporate focused video blog WallStrip has been acquired by CBS News for $5 million. The report states that an announcement is expected early this week and involves WallStrip host Lindsay Campbell being the next Amanda Congdon for CBS, fronting online shows.
I spoke to some one close to the deal who confirmed Jossip’s story. He told me that New York based Venture Capitalist Fred Wilson, who had previously invested $500,000 in WallStrip, negotiated and sealed the deal. The deal is said to be focused on signing Lindsay Campbell. CBS was keen to have Campbell on board and a cast iron contract meant that acquiring WallStrip was the only way they could get to her.
WallStrip as a video blog/ show has previously met with mixed revues. The dry topics and patchy scripting being pulled off only by the shining talent of Campbell. As a deal it has a sense of “What The?” about it. My source described the deal as 10x Wilson’s investment of $500,000 on revenue of $0. I can’t confirm WallStrip’s income but it begs the question in terms of ROI for CBS if WallStrip’s advertising revenues are low.