Viacom and online photo sharing platform Snapchat extended a deal allowing Viacom to sell ads on behalf of the mobile app.
Under this deal, Viacom will be given the right to sell against its content on the photo sharing platform as well as the U.S. owned and operated Snapchat advertising inventory, said a spokesperson for Snapchat.
That includes any ads in the un-partnered Snapchat Live Stories, which curate posts submitted from users in specific locations geographically or during large holidays, added the spokesperson. Financial terms of this new deal were not disclosed.
No other television company has this same arrangement with Snapchat but Viacom.
A national daily reported earlier that there would likely be a deal between the two companies.
The deal, which is multi-year, will likely be discussed by Philippe Dauman the CEO at Viacom during the Tuesday earnings call.
Viacom had a deal already in place with Snapchat that carries content for networks owned by Viacom such as MTV and Comedy Central. Snapchat is an app for mobile handsets where text messages, photos and videos disappear in just seconds.
Viacom just recently appointed to its CEO position Dauman, who replaced Sumner Redstone the majority owner, overriding the calls to have an independent chief on the board from the daughter of Redstone, who voted against Dauman.
Investors were mixed with the board’s decision.
One Viacom shareholders, SpringOwl Asset Management, that agitated change, was upset with the move, while the fifth largest Viacom as well as CBS shareholder, Permanent Portfolio of Family of Funds, applauded the appointment of Dauman. Snapchat recently partnered with NFL for a story explorer feature.
The White House is on Snapchat as of January 11 to reach out to the younger American generation through platforms of social media.
