Brightcove Files For IPO, Reports $44M In 2010 Revs

Hoping to raise up to $50 million, online video platform Brightcove on Wednesday filed for an initial public offering with the SEC.

While Brightcove has increased annual revenues since at least 2008, the company said it does not expect to achieve profitability until 2012.

"We have incurred significant losses in each fiscal year since our inception in 2004," Brightcove explained in an S-1 form filed with the SEC on Wednesday. "Our operating losses will continue or even increase until ... the end of 2012."

Debuted in 2004, Brightcove now has nearly 300 employees. It sets itself apart by helping both large and small content providers to publish video using HTML 5 instead of Adobe Flash.

As of May, Brightcove was streaming 700 million videos a month, which the company said at the time placed it among the top five online video platforms on the Web.

Along with standard video, the Cambridge, Mass.-based company has added live, on-demand and mobile offerings in recent years. Customers include AOL, Bank of America, Honda, Macy's, Oracle, Philips Electronics, Showtime and The New York Times.

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In 2008, Brightcove racked up $24.5 million in revenue, while in 2010 it earned $43.7 million. During the first six months of this year, the company earned $28.4 million in revenues, but incurred a loss of $9.7 million.

However, Brightcove remains optimistic about the future of online video. "We estimate our total addressable market for online video platforms to be approximately $2.3 billion in 2011, growing to approximately $5.8 billion in 2015," the company estimated in its S-1 filing.

In April, the U.S. online video audience streamed 14.7 billion videos, according to Nielsen, while the total audience was 141.4 million viewers.

Also working in its favor, Brightcove was recently issued a broad patent for the "distribution of content," which covers the basic features of a professional online video platform. The patent, which the company applied for in 2005, describes some of the basic features of all professional online video players, such as customizable players, digital rights management and syndication.

To date, Brightcove has raised over $100 million from Hearst Interactive Media, GE Commercial Finance, Accel Partners, Allen & Company, Brookside Capital and AllianceBernstein.

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