Akimbo Jumps Into Deadpool, Takes $56 Million With It

Akimbo, the online video provider that never seemed to establish an identity, has closed its doors. The sudden move is surprising, given that the site raised $4 million in funding less than three months ago.

Akimbo launched in 2002 as a hardware-based VOD company. Using a hard-drive equipped settop box, users could download a variety of shows from 200 content partners. In October 2005 the company shifted directions and introduced Akimbo for Media Center, which did away with the hardware and allowed users to use Akimbo through a plugin on compatible computers. Finally, last February, the company reinvented itself once more, and became a whitelabel video service provider.

Given Akimbo’s multiple personalities, it’s not surprising that it has run into trouble – but why give up after only three months in a new space? The company has seen management issues (the former CEO left, and disagreements apparently arose after his replacement with Thomas Frank). But that still doesn’t explain why the company would give the whitelabel space such a half-hearted effort.

According to VentureBeat, the entire staff has been laid off, save for three members who are staying on to facilitate the company’s shutdown. The company had raised $56 million over multiple rounds of funding, with investors including AT&T and Cisco. Akimbo has been added to the Deadpool.