After months of negotiations, AT&T's WarnerMedia has confirmed a deal to sell its anime streaming service Crunchyroll. Sony is purchasing Crunchyroll for nearly $1.2 billion, to be merged with its own service Funimation.
AT&T has been seeking a buyer for Crunchyroll as part of an initiative to streamline its assets and reduce its debt, according to THR. Funimation and Crunchyroll have long been rivals in the Japanese animation market.
Sony Pictures Entertainment CEO Tony Vinciquerra made a statement on the deal, saying, "We are proud to bring Crunchyroll into the Sony family. Together with Crunchyroll, we will create the best possible experience for fans and greater opportunity for creators, producers and publishers in Japan and elsewhere."
Crunchyroll, which has 90 million registered users, was founded in 2006 and offers not only 1,000 anime shows but hundreds of East Asian dramas and 50 manga titles. In 2016, it formed a partnership with Funimation to offer streaming of select content between the two platforms. However, the partnership ended in 2018 after Sony acquired Funimation, and the AT&T-owned Otter Media acquired Crunchyroll. The next year, Crunchyroll became a part of WarnerMedia after a reorganization resulting from AT&T's purchase of Warner Bros.
WarnerMedia chief revenue officer Tony Goncalves also had remarks about the deal: "Crunchyroll’s success is a direct result of the company’s culture and commitment to their fans. By combining with Funimation, they will continue to nurture a global community and bring more anime to more people." He added, "They've created an end-to-end global ecosystem for this incredible art form."
A description on the Crunchyroll website calls the streaming platform "the world’s most popular anime brand, connects anime and manga fans in more than 200 countries and territories with 360-degree experiences." Sony's purchase will give Funimation control over a brand that currently has 3 million subscribers.
Source: The Hollywood Reporter