DivX Holders Can Breathe As the Google Pact Was Renewed

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By Douglas A. McIntyre Published
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DivX (DIVX) shareholders can take a breather if they were worrying about the state of the Google (GOOG) search and bundling pact.  When DIVX came public and while it was being touted by Cramer and by analysts and traders alike, no one was bothering tomention that the pact with GOOG was up for renewal, renegotiation, or outright end at the end of this year.

DIVX announced this morning that it has extended its multi-year agreement with Google to bundle the Google Toolbar with downloads of DivX video software products and will bundle the Mozilla Firefox browser.  We have no details of the deal and we have no idea if DIVX had to give away their first born, but this removes that hurdle. 

Now the only thing DIVX shareholders have to worry about is if the management is strong enough to keep executing internally and externally like they have so far.  On last look DIVX shares were up more than 4% pre-market at $28.75.  Its trading range since coming public has been $18.00 to $31.89.

Jon C. Ogg
December 8, 2006

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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