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Shutterfly Selects Sorenson as Video Partner

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In a continuing sign of the importance of video to the consumer photography market, Shutterfly has chosen online video provider Sorenson Media as its exclusive video services partner. Sorenson will handle all video services on the site, including uploading, transcoding, streaming, and downloading for Shutterfly customers.

This news comes one day after rival photo sharing site Snapfish announced it was acquiring the video technology platform powering Motionbox, a video sharing site. With more consumers shooting video on their cameras and cell phones, it looks like there's a rush on to provide the best video experience.

A source close to the decision says that all the major online video platforms were vying to be Shutterfly's video partner, and that the contest was "unusually competitive." With high-definition video on cell phones (such as the Apple iPhone 4 and the upcoming Motorola Droid X) selling quickly and Internet-enabled televisions catching on, home video sharing is poised for a rapid rise in popularity.

"Shutterfly is committed to providing consumers with the most powerful, easy-to-use video solution on the market," says Dan McCormick, senior vice president of products and services at Shutterfly. "We upgraded to Sorenson Media as our video technology partner because they can provide our customers with a trusted and quality solution for their online video needs, matching our commitment to delivering innovative, best-in-class services."

Shutterfly Video lets customers upload up to 10 video clips in any format, from any type of camera. Videos can then be posted directly to the user's Shutterfy Share site, e-mailed, or shared on social networking sites. Users can also opt for Shutterfly's premium service, which provides unlimited video storage, larger file sizes, and HD playback for $29.99 per year.

This news comes one day after Sorenson ended the second quarter of 2010 with revenue growth of over 40 percent compared to the same period in 2009. This was Sorenson's third consecutive quarter with greater than 40 percent growth.

"As both customers and partners, we are excited to empower the growing Shutterfly community with the highest-quality solutions for creating and sharing video in any online video platform or format," says Peter Csathy, CEO of Sorenson Media.

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