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Disney Digital Network

Disney Digital Network was an American multi-channel network located in Culver City, California. It was originally the successor to Maker Studios, co-founded by Lisa Donovan, Danny Zappin, Scott Katz, Kassem Gharaibeh, Shay Carl, Rawn Erickson II, Ben Donovan,[3][4] Philip DeFranco, Glasgow Phillips, Michael Gallagher, Matthew Clawson, and Paul Ballon in 2009. Maker Studios was originally conceived as an incubator for YouTube talent through the use of Super Channels like The Station. Maker Studios adopted the multi-channel network (MCN) model after the initial model failed to take root.[5][6] Maker Studios was acquired by The Walt Disney Company in 2014 for $500 million,[7][8] and was absorbed into the newly formed Disney Digital Network in 2017.[8]

Outside the United States, the former Maker Studios had significant audiences in the United Kingdom, Brazil, and Australia, and was aiming to expand its Asian operations, where it once had 700 million monthly unique views. Run by René Rechtman (who now runs Moonbug Entertainment), president for the international division, Maker had plans to build a headquarters in London for its commercial, production and marketing activities outside the USA. An Asian hub had been established in Singapore, which offered limited commercial and marketing support before the company was sold to The Walt Disney Company.[9]

Following the Disney acquisition, the company suffered multiple rounds of layoffs, executive shuffling, and partner cut-offs.[10][11]

History

As Maker Studios

2009–2012: Foundation and early years

Maker Studios was founded in 2009.

In June 2012, Maker Studios announced that over 1,000 channels signed under the network have received and accumulated over 1.1 billion views for the month of June 2012.[12][13] At the time, YouTube channels under Maker Studios collectively earned over 90 million subscribers. In October 2012, Maker Studios surpassed Machinima to become the number one independent YouTube network.[14] However, since that time, according to comScore, in December 2012, Fullscreen passed Maker to become the top ranked YouTube-based network.[15]

2012–2013: Ray William Johnson dispute

From late 2012 through 2013, Maker Studios and Ray William Johnson were involved in a public feud that received considerable media attention.[16][17][18] Maker Studios formerly produced Johnson's Equals Three and Your Favorite Martian series.[14] In October 2012, Johnson announced he would be leaving Maker Studios in an episode of Equals Three.[19][20] Johnson also formed his own production studio, Runaway Machine (formerly Runaway Planet).[21][22] Johnson has stated online that he left Maker Studios due to the pressure the company put on him into signing a contract which gave Maker a 40% share of his channel's AdSense revenue and 50% of his show's intellectual property rights. He stated that they were using "thuggish tactics" to pressure him into signing the contract, one of which was allegedly leveraging his AdSense account for the intellectual property rights to Your Favorite Martian. He also claimed that Maker Studios CEO, Danny Zappin, is a convicted felon, which he was not made aware of, when teaming up with Maker Studios. Zappin later publicly admitted to this claim.[23][24][25][26] This was one of the first such publicized contract disputes between a YouTube content creator and their multi-channel network.

In December 2012, Maker announced that it had closed a $36 million round of financing led by Time Warner Investments.[27]

2014: Acquisition by Disney

On March 24, 2014, Maker Studios, Inc. agreed to sell itself to The Walt Disney Company for $500 million, rising to $950 million if financial milestones were met.[28][29] On April 14, 2014, Relativity Media submitted a competing bid of up to $1.1 billion, but Maker denied the bid.[30] In 2014, Jukin Media partnered with Maker Studios, giving Maker Studios access to Jukin's library of video clips, and giving Jukin access to Maker's operational resources, The partnership also resulted in the launch of a dedicated website for FailArmy, Jukin's owned and operated entertainment brand.[31] In December 2015, the company became a subsidiary of Disney Consumer Products and the Disney Interactive division of The Walt Disney Company.[7] The Network also partnered with Fusion TV in a deal that fell under the corporate umbrella of The Walt Disney Company.[32]

2009–2012: Foundation and early years

Maker Studios was founded in 2009.

In June 2012, Maker Studios announced that over 1,000 channels signed under the network have received and accumulated over 1.1 billion views for the month of June 2012.[12][13] At the time, YouTube channels under Maker Studios collectively earned over 90 million subscribers. In October 2012, Maker Studios surpassed Machinima to become the number one independent YouTube network.[14] However, since that time, according to comScore, in December 2012, Fullscreen passed Maker to become the top ranked YouTube-based network.[15]

2012–2013: Ray William Johnson dispute

From late 2012 through 2013, Maker Studios and Ray William Johnson were involved in a public feud that received considerable media attention.[16][17][18] Maker Studios formerly produced Johnson's Equals Three and Your Favorite Martian series.[14] In October 2012, Johnson announced he would be leaving Maker Studios in an episode of Equals Three.[19][20] Johnson also formed his own production studio, Runaway Machine (formerly Runaway Planet).[21][22] Johnson has stated online that he left Maker Studios due to the pressure the company put on him into signing a contract which gave Maker a 40% share of his channel's AdSense revenue and 50% of his show's intellectual property rights. He stated that they were using "thuggish tactics" to pressure him into signing the contract, one of which was allegedly leveraging his AdSense account for the intellectual property rights to Your Favorite Martian. He also claimed that Maker Studios CEO, Danny Zappin, is a convicted felon, which he was not made aware of, when teaming up with Maker Studios. Zappin later publicly admitted to this claim.[23][24][25][26] This was one of the first such publicized contract disputes between a YouTube content creator and their multi-channel network.

In December 2012, Maker announced that it had closed a $36 million round of financing led by Time Warner Investments.[27]

2014: Acquisition by Disney

On March 24, 2014, Maker Studios, Inc. agreed to sell itself to The Walt Disney Company for $500 million, rising to $950 million if financial milestones were met.[28][29] On April 14, 2014, Relativity Media submitted a competing bid of up to $1.1 billion, but Maker denied the bid.[30] In 2014, Jukin Media partnered with Maker Studios, giving Maker Studios access to Jukin's library of video clips, and giving Jukin access to Maker's operational resources, The partnership also resulted in the launch of a dedicated website for FailArmy, Jukin's owned and operated entertainment brand.[31] In December 2015, the company became a subsidiary of Disney Consumer Products and the Disney Interactive division of The Walt Disney Company.[7] The Network also partnered with Fusion TV in a deal that fell under the corporate umbrella of The Walt Disney Company.[32]

As Disney Digital Networks

In February 2017, Maker Studios had around 60,000 YouTube partnerships, but announced that it intends to reduce this to about 1,000. Many partnered YouTubers had been unhappy with the terms of their contracts, including difficulty with ending contracts.[33] On May 2, 2017, Disney absorbed the studio into the newly formed Disney Digital Network.[8]

On January 19, 2018, Twitch signed a deal with Disney to secure exclusive content from some of the entertainment giant's top YouTubers, including Markiplier, Jacksepticeye, Strawburry17 and LuzuGames. A total of four YouTubers (with a combined total of over 44 million subscribers), are involved in the deal, and each will manage their own channels on Twitch.[34]

Key personnel

Courtney Holt was the chief strategy officer of Maker Studios.[35] Due to Danny Zappin stepping down as the company's CEO, Ynon Kreiz, former CEO and chairman of Endemol became the CEO of Maker Studios in May 2013.[36] Prior to Kreiz becoming the CEO of Maker, he was the company's chairman.[37] Ryan Lissack is the current CTO of Maker Studios.[38] In December 2015, Courtney Holt replaced Ynon Kreiz as CEO, coming a year after Disney's acquisition of the group.[7]

Channels

Animonster

Animonster was an animation channel co-founded by Maker and Cosmic Toast Studios, which premiered shows such as Your Favorite Martian: The Series, Powerhouse, and Dino Yacht Club.[39] In 2013, the channel ceased uploading.

Cartoonium

Cartoonium was an animation channel, launched on April 19, 2013 which focused on children programming.[40]

Content

Maker Studios produced videos for channels on YouTube, including Consider the Source, Tessa Violet, Chuggaaconroy, Yves Bole, KassemG, Timothy DeLaGhetto, Shimmy AP, Nice Peter and EpicLLOYD's Epic Rap Battles of History (seasons 1-5), Joseph Garrett's Wonder Quest and I Wonder, and LORE in a Minutes![41] KingManProds,[42] Sam Macaroni, along with several others[43][44] that have almost as many viewers as Nickelodeon.[4] Maker's first three channels produced for YouTube included Maker Music Network, Tutele, and The Mom's View, with both Maker Music Network and Tutele channels shutting down within six months of their launch.[35][44][45] Maker Studios have also signed celebrities such as famous rapper Snoop Dogg and his YouTube channel WestFestTV,[46][47][48] actor Robert De Niro's Tribeca Enterprises,[49] and Kevin Smith.[50]

In 2013, the most popular Maker production was Epic Rap Battles of History, which averaged 30 million views an episode.[51] Maker's most successful channel was PewDiePie, who was the most-subscribed user on YouTube. He was signed under the Maker sub-network Polaris and later Revelmode until February 13, 2017,[52][53] when Maker dropped him as a result of the international backlash to jokes and actions that media outlets widely described as anti-semitic.[54] During his time with the network, Maker produced his YouTube Red (now YouTube Premium) show Scare PewDiePie with Skybound Entertainment.[55][56] Disney Digital Network in 2017 produced Hyperlinked, a series distributed on YouTube Red and based on the story of the social network Miss O and Friends, and Club Mickey Mouse, a reboot of The Mickey Mouse Club airing exclusively online on social media.[57][58][59]

Brands

  • Oh My Disney
  • Disney Style
  • Babble
  • Disney Family
  • Disney Eats
  • The Game Station
  • Polaris
  • The Platform
  • Animonster
  • The Station
  • Cartoonium
  • The Mom View
  • Tutele
  • Maker Music Network

Television shows

  • Disney FHO - Friends Hanging Out (2015–2016)
  • Polaris Primetime (2017)
  • Player Select (Polaris: Player Select for first season) (2017–2020)
  • Parker Plays (2017–2018)
  • Club Mickey Mouse (2017–2018)
  • Legend of the Three Caballeros (2018)
  • Disney Dream Job: Game Designer (2018 TV Special)
  • Disney Comics in Motion (2018–2019)

See also

  • List of YouTubers
  • List of multi-channel networks

External links

References

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  2. Eriq Gardner. Maker Studios Power Struggle Detailed in Former CEO's Lawsuit The Hollywood Reporter, June 27, 2013, retrieved July 14, 2013^
  3. Laura Sydell. Lights, Camera, YouTube: Studio Cashes In On An Entertainment Revolution NPR, June 18, 2012, retrieved July 6, 2012^
  4. Claire Cain Miller. Actors in Smaller Studios, Making Pictures for the Smaller Screen New York Times, April 10, 2011, retrieved July 6, 2012^
  5. Christine Rosen. 'Like, Comment, Subscribe' Review: Watching YouTube Rise Wall Street Journal, 2022-09-30, retrieved 2023-10-28^
  6. DRAW MY LIFE – Philip DeFranco The Philip DeFranco Show, YouTube, April 10, 2013, retrieved April 22, 2013^
  7. Mike Shields. Maker Studios Head to Step Down The Wall Street Journal, December 15, 2015^
  8. Disney Reveals Digital Network Combining Maker Talent With Editorial Brands The Hollywood Reporter, May 2, 2017, retrieved May 18, 2017^
  9. Will Haskins. Maker Sets Sights on Asian Talent Media Business Asia, June 4, 2014, retrieved June 10, 2014^
  10. Janko Roettgers. Disney's Maker Studios Drops PewDiePie Because of Anti-Semitic Videos February 14, 2017, retrieved May 18, 2017^
  11. Report: Disney's Maker Studios cutting support for more than 55,000 YouTubers Polygon, February 23, 2017, retrieved May 18, 2017^
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  13. Matthew Manarino. Maker Studios: 1 Billion YouTube Views in One Month NewMediaRockstars, June 28, 2012, retrieved July 6, 2012^
  14. Benny Luo. Updated: Maker Studios Beats Machinima – Now Ranked the #1 Independent YouTube Network on Comscore New Media Rockstars, October 19, 2012, retrieved October 20, 2012^
  15. Ed Carrasco. Fullscreen Now The #1 Independent YouTube Network According to ComScore New Media Rockstars, January 15, 2013, retrieved February 3, 2013^
  16. This YouTube Star Is In The Middle Of A Very Ugly, Public Fight With His Studio Business Insider, December 13, 2012, retrieved August 21, 2022^
  17. Sam Gutelle. Ray William Johnson Escalates Maker Studios Feud, Threatens To Sue Tubefilter, April 29, 2013, retrieved August 21, 2022^
  18. Andrew Wallenstein. YouTube's top star in contract dispute Variety, October 18, 2012, retrieved August 21, 2022^
  19. World's Greatest Ninja!! – Ray William Johnson Ray William Johnson, October 16, 2012, retrieved January 21, 2013^
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  22. Sam Gutelle. RayWilliamJohnson Starting His Own Studio With Help From Julian Smith Tubefilter, November 27, 2012, retrieved January 21, 2013^
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  26. Tessa Stuart. YouTube Stars Fight Back LA Weekly, January 10, 2013, retrieved January 14, 2013^
  27. Ryan Lawler. With 2 Billion Video Views A Month, Maker Studios Raises $36 Million Round Led By Time Warner TechCrunch, December 20, 2012, retrieved January 21, 2013^
  28. Ben Fritz. Disney to Buy Online-Video Network Maker Studios Wall Street Journal, March 25, 2014, retrieved March 25, 2014^
  29. Brooks Barnes. Disney Buys Maker Studios, Video Supplier for YouTube New York Times, March 24, 2014, retrieved March 27, 2014^
  30. Todd Spangler. Maker Studios Says Disney Acquisition Is Approved by Shareholders, Who Reject Relativity Bid Variety, April 14, 2014, retrieved April 15, 2014^
  31. No Fail Here: Maker Studios Gets Powerful Viral Video Partner in Jukin Media Mashable, April 24, 2014, retrieved August 19, 2015^
  32. Todd Spangler. Disney's Maker Studios Teams with Disney-Backed Fusion to Produce Block of TV Programming Variety, October 13, 2014, retrieved November 14, 2017^
  33. Cecilia D'Anastasio. Some YouTubers are overjoyed that Maker Studios is firing them Kotaku, March 1, 2017, retrieved March 3, 2017^
  34. Matt Wales. Twitch inks deal to broadcast exclusive content from top Disney YouTubers Eurogamer, January 19, 2018^
  35. Glenn Peoples. Courtney Holt, Former MySpace Music President, Named CEO of Maker Studios, Maximillian DeStefano, stock marketer for maker Hollywood Reporter, October 31, 2011, retrieved July 6, 2012^
  36. Peter Kafka. Maker Studios CEO Danny Zappin Steps Down, Replaced by Endemol Vet Ynon Kreiz All Things D, May 7, 2013, retrieved May 20, 2013^
  37. Daniel Miller. Ynon Kreiz Joins Maker Studios as Chairman (Exclusive) Hollywood Reporter, June 26, 2012, retrieved July 6, 2012^
  38. Michael Carney. Maker Studios Hires Former Salesforce Exec Ryan Lissack as CTO Pando Daily, April 10, 2012, retrieved July 6, 2012^
  39. Maker Studios' Animonster Attacks YouTube Tubefilter, December 6, 2011, retrieved September 29, 2023^
  40. Maker Studios' Shadycarl Partner with Animation channel on Cartoonium Tubefilter, April 19, 2013, retrieved August 10, 2024^
  41. Stuart Dredge. YouTube backs digital star Stampy (Joseph's Youtube nickname) 's new Minecraft show Wonder Quest The Guardian, 2015-04-27, retrieved 2016-04-25^
  42. Chaz Kangas. Maker Studios Is Flush With YouTube Cash LA Weekly, March 1, 2012, retrieved July 6, 2012^
  43. Mike Shields. YouTube Natives Topping Big Names Early on Mom, science channels off to solid starts; eggheads, Demand Media struggle Adweek, February 15, 2012, retrieved July 7, 2012^
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  46. Marc Graser. 'Fistful' of online content Variety, July 30, 2012, retrieved August 9, 2012^
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  48. Daniel Frankel. Maker Studios fires up Snoop Dogg partnership Paidcontent, June 29, 2012, retrieved July 6, 2012^
  49. Joshua Cohen. Robet De Niro's Tribeca Enterprises Partners with Maker Studios on YouTube Channel Tubefilter, May 2, 2012, retrieved January 21, 2013^
  50. Joshua Cohen. Kevin Smith Signs with Maker Studios Tubefilter, January 14, 2013, retrieved January 21, 2013^
  51. Degen Pener. SXSW: Maker Studios Execs on Turning Down TLC and How Mobile Views Threaten Revenue Hollywood Reporter, March 11, 2013, retrieved March 27, 2013^
  52. Marc Graser. Maker Studios Hits Reset on The Game Station, Renames it Polaris Variety, January 8, 2013, retrieved March 16, 2014^
  53. Todd Spangler. YouTube Megastar PewDiePie Launches 'Revelmode' Network Variety, 13 January 2016, retrieved 19 January 2016^
  54. Janko Roettgers. Disney's Maker Studios Drops PewDiePie Because of Anti-Semitic Videos Variety, February 13, 2017, retrieved May 14, 2017^
  55. Paul Tassi. 'The Walking Dead' Creators Are Trying To Scare PewDiePie In A Show For YouTube Red Forbes, October 21, 2015, retrieved October 23, 2015^
  56. Samit Sarkar. PewDiePie is getting a reality series on YouTube's new ad-free subscription service Polygon, October 21, 2015, retrieved October 23, 2015^
  57. Todd Spangler. Disney Launches 'Club Mickey Mouse,' Rebooting Classic Kids' Show for Social Media Variety, 8 September 2017, retrieved 17 July 2018^
  58. Disney Digital Network Brings Fresh, Original Content Directly to Fans Around the World thewaltdisneycompany.com, September 12, 2017, retrieved October 27, 2018^
  59. Disney Digital Unveils 'Hyperlinked' licenseglobal.com, 2017-05-17, retrieved 2021-10-18^