Source: MacRumors.com
Just late yesterday, The Next Web had noted that Apple was putting the finishing touches on a deal to buy out Color Labs, which is a video streaming service that was founded by another company called Lala Media, whom is a veteran named Bill Nguyen. This report had come at the very end of a very confusing day where an internal memo had shown that the firm was being shut down, only to having the company refuse the claims that were made already.
All Things D has provided even more clarity on this situation, in showing that Apple is only buying out Color’s 20-member engineering team that has a very small sum.
What’s really happening is that Color’s engineering team — about 20 people, comprising almost the entire company — is being “acqhired” by Apple at what’s being called a “nominal” price of something like $2 million to $5 million, according to multiple sources familiar with both sides of the situation. To repeat, there are no “double-digit” millions involved, according to many people familiar with the deal.
Apple is not buying Color’s technology, intellectual property, domain names or liabilities. Those are being left with the company, which still has considerable cash in the bank — something like $25 million — and is going to be wound down.
Reports say that Apple is bringing the engineers from Color on board to work on projects that are cloud-related within Apple.
This report also shows that there is a high amount of bad blood in between the numerous parties that are involved at Color and even within Apple, which takes part in the mass confusion yesterday which is about almost exactly what happened with Color. Color and Apple are remaining unresponsive on the deal.
Via Mac Rumors
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