DealStreetAsia had on June 5 reported the Indonesian company’s plans to raise independent funding for its video streaming unit.
The announcement on Monday did not specify the size of the investment, but our sources indicated that the round had been closed in the region of $15 million.
Launched in September 2019, GoPlay serves as a platform for Indonesian filmmakers to introduce and distribute their work to a broader market, while providing consumers with exclusive access to hundreds of locally produced movies and shows.
The platform is available as a tile on the Gojek app. Users can subscribe to GoPlay individually or as part of a bundle that includes other Gojek services such as GoFood or GoSend.
“Indonesia’s local pool of content creators need more avenues to showcase their talent, while our growing pool of mobile consumers want access to more local content at their fingertips. There is huge potential here that is not being addressed by commercial movie theatres, and we are working hard to close the gap between supply and demand,” said GoPlay CEO Edy Sulistyo.
The new funding will be used to enhance GoPlay’s technology to enable more Indonesian filmmakers to showcase their talent and better meet consumer demand for high-quality local content, per its statement.
Interestingly, the fresh capital comes at a time when local streaming players have had to suffer a drubbing. Malaysia’s iflix, which is backed by Catcha Group, Fidelity International and Singapore’s EDBI, has laid off staff across all markets due to uncertainties related to the virus outbreak, while Singtel-backed HOOQ had to file for liquidation.
GoPlay operates under Gojek Entertainment Group, a separate business division that comprises GoStudio (in-house film studio), GoLive (online gaming), Loket (event management and ticketing), and GoTix (movie and event ticket purchasing).
The firm offers Indonesian and Asian films on its platform as well as original content. GoPlay has also produced several films in partnership with Ideosource Entertainment, which operates an Indonesian film fund affiliated to VC firm Ideosource Ventures and backed by listed tech company NFCX.
According to Ideosource Entertainment, the Indonesian content market has the potential to reach $1 billion within the next three years driven by the current growth and demand for content streaming.
“We are very optimistic about the potential of Indonesia’s fast-growing online entertainment sector and believe our years of experience in the media and technology sectors combined with GoPlay’s localization capabilities and Gojek’s tech ecosystem, will help accelerate GoPlay’s exponential growth,” said ZWC Partners founding and managing partner Patrick Cheung.
According to corporate filings obtained by DealStreetAsia, Gojek’s payment arm GoPay has also secured independent capital.
The filings show that Facebook and PayPal, Gojek’s latest backers, were registered as shareholders in GoPay on May 22. The two firms own 2.4 per cent and 0.6 per cent of the entity, respectively. Two of the largest shareholders in GoPay are Gojek (72.4 per cent) and GIC-owned Gamvest Pte. Ltd (16.8 per cent).
Gojek had last week announced an unspecified strategic investment from Facebook and PayPal as part of an ongoing funding round. Existing backers Google and Tencent also topped up their investments in the firm, bringing its Series F total to over $3 billion.