Core Insights - Vimeo is laying off a significant portion of its global staff following its acquisition by Bending Spoons for $1.38 billion [1][2] - Bending Spoons confirmed the layoffs but did not disclose the exact number of job losses, indicating that a "large portion" of Vimeo's workforce will be affected [2] - Vimeo has been struggling to compete in the video-hosting market, primarily dominated by YouTube, and has been focusing on AI technologies to enhance its offerings [3] Company Overview - Vimeo was founded in 2004 and has faced challenges in establishing a strong market position against competitors like YouTube [3] - The company has recently announced plans to introduce AI-powered tools for script-writing and video editing, as well as additional AI tools aimed at connecting filmmakers' content to AI workflows [3] Acquisition Context - Bending Spoons, the Italian tech conglomerate, acquired Vimeo in an all-cash deal last year, which is part of its strategy to expand its portfolio by acquiring other tech platforms like Meetup, Evernote, and WeTransfer [1][3]

Company Overview - Vimeo is undergoing staff reductions, confirmed by its owner Bending Spoons, following its acquisition for approximately $1.38 billion in November [1] - This marks Vimeo's second round of layoffs since September, when it cut 10% of its full-time workforce to enhance focus and efficiency [2] Parent Company Activities - Bending Spoons, based in Milan, owns several software companies and has actively pursued mergers and acquisitions, including the recent purchase of Vimeo and an announced acquisition of AOL for $1.5 billion [3] - The company raised $4 billion in debt financing in 2025 to support its AOL acquisition and future M&A activities [3] Historical Context - Bending Spoons has a track record of significant job cuts post-acquisition, exemplified by a 75% reduction in WeTransfer's staff after its purchase [4] - Vimeo has been positioning itself as a premium video hosting platform since its founding in 2004, aiming to be an alternative to YouTube, and has expanded its offerings to include software solutions beyond video hosting [5] Industry Trends - Vimeo is not alone in its workforce reductions; other tech companies like Meta and TikTok have also laid off employees as part of restructuring efforts or to achieve cost efficiencies [6]

You also had the experience of working very closely with Barry Diller when you were at Vimeo. What did you learn from working with him. He's a legend. >> He is a legend, you know.Um I think probably if I were to describe the experience, it was like being thrown into the deep end of the pool and learning to swim. And I say that because in the most positive way, which is I think that was really the philosophy that Barry and his protege Joey Leven and and everyone at IA had, which was this belief that you know ...

Core Insights - Bending Spoons has rapidly expanded by acquiring stagnant tech brands like AOL and Evernote, achieving a valuation increase from $2.55 billion to $11 billion in just a few months through aggressive cost-cutting and price hikes [2] - The company operates with a "buy, optimize, hold" strategy, focusing on turning around underperforming companies without plans to sell them [2][6] - Curious, led by CEO Andrew Dumont, is also targeting "zombie companies" and believes that this permanent holding strategy will become more mainstream as AI startups challenge traditional software firms [2][3] Acquisition Strategy - Curious raised $16 million in 2023 specifically for acquiring stagnant software companies, successfully acquiring five firms, including UserVoice, which had previously raised $9 million in venture capital [5] - The purchase prices for these stagnant companies are significantly lower than healthy SaaS startups, sometimes as low as one times annual revenue, compared to the typical four times for thriving firms [5] - By implementing cost reductions and price increases, Curious can boost profit margins of acquired companies to 20% to 30% almost immediately [5][6] Operational Efficiency - Unlike independent companies, Curious centralizes sales, marketing, finance, and administrative functions across its portfolio, allowing for sustainable growth and profitability without the pressure of venture capital exit strategies [6] - Dumont highlights that venture capitalists prioritize growth over profitability, which diminishes the incentive for startups to pursue high profit margins [6] - The company plans to acquire 50 to 75 similar startups over the next five years, focusing on recurring revenue firms with annual revenues between $1 million and $5 million, a segment often overlooked by private equity [6][9] Market Dynamics - The significant valuation increase of Bending Spoons may validate the viability of the "zombie company" acquisition model, but Dumont does not foresee a surge in new competitors due to the challenges involved in turning around stagnant businesses [9]

Core Insights - Vimeo is transforming from a traditional video-hosting platform into an AI-powered infrastructure aimed at enhancing creator and viewer experiences, focusing on craftsmanship and creative control rather than generative AI [3][10][16] - The company's stock has increased from less than $4 to $7.85 per share over 15 months, reflecting a positive market response to its strategic changes and impending acquisition by Bending Spoons, valuing Vimeo at $1.38 billion [4][9][6] Company Strategy - Vimeo's CEO, Philip Moyer, emphasizes the goal of making AI more useful for creators and viewers, aiming to establish Vimeo as a platform of trust amidst a sea of fake videos [3][12] - The redesigned platform features an "ask the library" function that allows users to search video collections using plain language, significantly improving content accessibility [6][7][11] Technological Advancements - Vimeo's AI capabilities enable a deep understanding of video content, allowing for advanced features such as summarizing content and identifying specific moments within videos [10][8] - New functionalities allow users to connect their video libraries to AI assistants like ChatGPT, enabling instant retrieval of specific clips based on user queries [11][12] Market Positioning - Unlike YouTube, Vimeo maintains a subscription-based, ad-free model that keeps creators in control of their content and its distribution, which is a significant draw for users seeking to avoid algorithmic distractions [13][14] - The platform aims to provide a secure and trusted environment for creators, as evidenced by its analytics dashboard that offers insights into viewer behavior and engagement [17][15]

By Elvira Pollina MILAN (Reuters) -Italian tech company Bending Spoons could list as early as next year, when it expects to double adjusted earnings after buying video streaming platform Vimeo and web ​portal AOL, its chief executive told Reuters. In a wide-ranging interview, one of Europe's leading tech ‌investors and operators joined other business leaders in warning about the risk of an artificial intelligence bubble, and urged Europe to focus on deregulation to ‌retain innovative companies. "I don't ...

Italian technology conglomerate Bending Spoons has agreed to acquire web portal and email provider AOL from Yahoo. The acquisition will be financed through a $2.8bn debt package, which also supports Bending Spoons’ ongoing merger and acquisition plans. This move comes shortly after Bending Spoons disclosed an agreement last month to acquire video hosting service company Vimeo in an all-cash deal worth around $1.4bn. Subject to shareholder and regulatory approval, this deal is expected to close in Q4 202 ...

Core Insights - Vimeo, Inc. reported revenue of $105.76 million for Q3 2025, reflecting a year-over-year increase of 1.1% and an EPS of -$0.01 compared to $0.05 a year ago, indicating a significant decline in profitability [1] - The revenue fell short of the Zacks Consensus Estimate of $106 million by 0.23%, and the EPS was below the consensus estimate of $0.03 by 133.33% [1] Financial Performance Metrics - Vimeo's stock has returned +0.5% over the past month, underperforming the Zacks S&P 500 composite, which increased by +3.6% [3] - The company holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3] Key Revenue Metrics - ARPU for Self-Serve was reported at $204.00, exceeding the estimated $198.55 [4] - ARPU for Vimeo Enterprise was $24,567.00, below the estimated $25,850.58 [4] - Revenue from Other was $1.6 million, slightly above the estimated $1.57 million, but showed a significant year-over-year decline of 89.3% [4] - Revenue from Vimeo Enterprise was $25.5 million, below the estimated $27.03 million, but represented a year-over-year increase of 17.7% [4] - Revenue from Add-Ons was $8.03 million, surpassing the estimated $7.69 million [4] - Revenue from Self-Serve was $58.74 million, exceeding the estimated $57.55 million [4] - Revenue from OTT was $11.88 million, slightly below the estimated $12.3 million [4]

Merger and Acquisition - The pending merger with Bending Spoons is valued at approximately $1.38 billion, with Vimeo shareholders set to receive $7.85 per share in cash[102]. - The company recorded transaction costs of $5.9 million related to the pending merger during the three months ended September 30, 2025[103]. Revenue and Growth - For the three months ended September 30, 2025, total revenue increased by $1.2 million, or 1%, primarily driven by an 18% increase in Vimeo Enterprise revenue[114]. - Vimeo Enterprise subscribers increased by 10%, and Average Revenue per User (ARPU) rose by 7% during the same period[114]. - For the nine months ended September 30, 2025, Vimeo Enterprise revenue increased by $14.7 million, or 24%, compared to the same period in 2024[117]. - Self-Serve revenue increased by $0.4 million, or 1%, due to a 13% rise in ARPU, despite an 11% decrease in Average Subscribers[115]. - Total bookings for the three months ended September 30, 2025, were $60.8 million, a 14% increase compared to the same period in 2024[106]. Expenses and Profitability - Operating expenses for the three months ended September 30, 2025, totaled 82% of revenue, up from 72% in the same period of 2024[113]. - The net loss for the three months ended September 30, 2025, was 2% of revenue, compared to a net earnings of 9% in the same period of 2024[113]. - For the three months ended September 30, 2025, cost of revenue increased by $1.7 million, or 8%, primarily due to higher hosting costs[118]. - Gross profit for the same period decreased by $0.5 million, or 1%, mainly due to the increase in cost of revenue[119]. - Total operating expenses for the three months ended September 30, 2025, increased by $11.4 million, or 15%, compared to the same period in 2024[123]. - Research and development expenses for the three months increased by $4.6 million, or 17%, due to higher restructuring and employee-related costs[123]. - Adjusted EBITDA for the three months ended September 30, 2025, decreased by $3.7 million to $12.4 million, primarily due to a decrease in gross profit[134]. - Operating (loss) income for the three months ended September 30, 2025, decreased by $12.0 million, primarily due to a decrease in gross profit and an increase in operating expenses[129]. - For the three months ended September 30, 2025, the net loss was $2.336 million compared to net earnings of $9.282 million for the same period in 2024[140]. - Adjusted EBITDA for the three months ended September 30, 2025, was $12.355 million, a decrease of 23.5% from $16.082 million in 2024[140]. Cash Flow and Liquidity - Cash and cash equivalents totaled $320.648 million as of September 30, 2025, slightly down from $325.276 million at the end of 2024[149]. - Net cash provided by operating activities for the nine months ended September 30, 2025, was $36.756 million, down from $46.057 million in 2024[150]. - Net cash used in investing activities included $5.3 million for capitalized internal-use software development costs for the nine months ended September 30, 2025[152]. - As of September 30, 2025, Vimeo had no debt and believes its cash and cash equivalents will be sufficient to fund operations for at least the next twelve months[157]. - The increase in deferred revenue was primarily due to an increase in Self-Serve bookings, contributing $6.9 million to working capital changes[151]. - Vimeo's liquidity could be negatively affected by a decrease in demand for its products and services or unexpected expenses[158]. Stock Repurchase - The company repurchased 3.9 million shares at a weighted average cost of $6.10 per share, totaling $23.5 million during the three months ended March 31, 2025[155]. - The company authorized a new stock repurchase program of up to $50 million on April 29, 2025[155].

Core Insights - Vimeo has unveiled transformative AI-powered features and creative tools aimed at enhancing professional video production, announced during the second annual REFRAME conference [1][2] - The event featured discussions with notable figures such as Grammy-winning artist 2 Chainz and Emmy-winning entrepreneur Tabitha Brown, emphasizing the importance of collaboration and innovation in video storytelling [1][8] Vimeo's Innovations - The company introduced significant platform capabilities that address challenges faced by video professionals, including content discoverability, streamlined workflows, and preparation for immersive formats [2] - New AI intelligence allows for interactive video libraries, making every frame searchable and actionable, thus moving beyond traditional video hosting [3][4] Creator Tools and Features - Vimeo has launched tools that facilitate seamless collaboration and integration with existing workflows, enabling creators to manage video feedback and enhance discoverability through auto-generated metadata [5][6] - Features like "Ask Your Library" and Vimeo MCP (Model Context Protocol) allow users to search entire libraries using natural language and connect video libraries to AI agents for custom workflows [5] Monetization and Audience Insights - Enhanced streaming capabilities provide creators with advanced analytics and new monetization options, ensuring they maintain ownership of their creative vision while expanding their reach [6] - The platform supports immersive formats, including VR180 content, and plans to integrate with Apple technologies for broader distribution [5] Industry Collaboration - REFRAME 2025 highlighted partnerships with technology brands like Google, Adobe, and Amazon, showcasing how their innovations are shaping new audience experiences [7] - The event underscores Vimeo's commitment to being the platform of choice for serious creators seeking authentic audience connections beyond algorithm-driven platforms [8]