Los Angeles: The National Basketball Association has invested in artificial-intelligence-based video-tracking firm Videocites as it looks to take more ownership stakes in businesses that could benefit the league.
Videocites brought on the NBA as part of a funding round led by Velocity Capital Management and joined by Infront Sports & Media AG. As part of the arrangement, Videocites has extended a deal with the league to use its technology to track how the NBA’s content is being used by fans on social media.
“We thought it would make sense for us to enter into a deeper partnership by having an equity component,” David Lee, the head of NBA Equity, said in an interview. “It’s a strong commitment for us.”
Videocites can track any use of a certain piece of video content across social media in things like short clips, live streams, mashups and compilations. Existing clients include Hollywood studios, media organizations and other sports leagues. It has been deployed by brands both as a tool to protect intellectual property and as a way to collect data on how content is being used on social channels.
The NBA plans to use the data to measure the league’s reach across platforms, identify creators for potential collaborations and deliver insights on brand exposure to its sponsors.
“They’re very forward-thinking about fan engagement – how to bring them on board and use fans as creators instead of pirates,” said Eyal Arad, co-founder of Israel-based Videocites.
Last year, NBA Chief Financial Officer David Haber declared the league “open for business” and formalized its investment operations under its NBA Equity division, which began pumping money into various startups across related industries. Investments thus far include Sorare fantasy gaming, consumer data firm StellarAlgo and kids’ social network Zigazoo. There are now more than 20 companies in its portfolio.
Source: Bloomberg
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