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HD Cloud Introduces Freemium Model for Cloud-Based Video Encoding

Market-Leading Pricing for Real-Time Cloud Transcoding Service; Free Pricing Below Two Gigabytes Per Month and Volume Pricing Cracks One Dollar Per Gigabyte Level


NEW YORK, NY — HD Cloud, a leading on-demand transcoding provider, today announced the most aggressive pricing for the growing cloud transcoding market, offering discounts for high-volume customers, highlighting the company’s industry-leading scalability for large content distributors. HD Cloud’s pricing offers customers a rate of less than one dollar per gigabyte for customers that transcode at least $99 of video per month. The company will also offer free transcoding for customers that use less than 2 GB per month.

The HD Cloud “freemium� model leverages the companies technology for scaling real-time video transcoding sessions, and offers the most attractive path for customers to migrate toward cloud-based encoding.

“Reliability, quality, and cost are key differentiators for us in what we see is a growing business, and we are using our proprietary technology to help drive the cloud encoding market,� said Nicholas Butterworth, CEO of HD Cloud. “The insatiable demand for online video distribution requires high volumes of transcoding power that can satisfy enormous volumes of content, and we can now make cloud-based transcoding an even more attractive proposition for customers, with our new pricing. Making our service even more accessible will enable exponential growth.�

Since its launch, HD Cloud has increased its technology profile to address feature-film distributors’ needs for in-the-cloud transcoding on on-demand feeds. The company’s model of offering lower-cost, high-definition video encoding for large-scale media firms is gaining acceptance with known brands, including the likes of, New York magazine and (through a partnership with Magnify), among others. The company’s sophisticated workflow and its superior video quality output are now complemented by the most aggressive volume pricing in the industry.

“Video aggregators and publishers alike are leveraging greater efficiencies, and even levels of quality, with cloud-based solutions, and as online and mobile video distribution increases at greater rates, we expect to see pricing models adjust accordingly,� said Ben Reneker, principal analyst with SNL Kagan. “The HD Cloud service embodies a trend toward higher-volume online video customers conducting essential services in the cloud.�

HD Cloud recently unveiled a new technology, HD Accelerate that was specifically created for large-scale video libraries and rightsholders that need high-capacity session control. The concept was married with another HD Cloud innovation, a security strategy in which proxy files are wiped from the server cloud once files are encoded, adding another layer of protection for customers.

HD Accelerate has performed 4,500 video encodes at 100 megabits per second (mb/s) each in a 20-minute period using 900 processors, which is believed to be an industry record. HD Cloud handles large video files and high bit-rate content (up to 1080p and 100 mb/s), offering customers a premium-quality video encoding experience with a superior return on investment.

HD Accelerate is a series of proprietary video scaling algorithms that HD Cloud has engineered for enhanced video transcoding throughput, particularly for on-demand video services. The company has typically performed 900 simultaneous encodes, and its recent enhancements to HD Accelerate enable far greater scalability and capacity for its cloud computing-based service. HD Cloud currently performs terabytes of transcoding sessions for customers, applying metadata to completed files and automatically distributing files to destinations ranging from syndication web sites, content delivery networks (CDNs), local archives, content management systems (CMSs), and local drives.

HD Cloud, which uses Amazon’s Elastic Cloud Computing (EC2) service, supports a wide range of video formats – from H.264 to Real Video and Windows Media – and supports up to 1080i/p resolution and 100 megabits per second (mb/s) throughput. The company employs an innovative security strategy in which proxy files are wiped from the server cloud once files are encoded, adding another layer of protection for customers. HD Cloud offers various video input formats, including H.261, H.263, H.264, MPEG-1, MPEG-2, MJPEG, On2 VP6, Real Video, Windows Media (AVI/WMV), and 3GPP. Output formats include H.261, H.263, H.264, MPEG-2, and 3GPP.

HD Cloud also provides a RESTful API for integration with other systems, including VMS providers, file transfer accelerators, CDNs, security vendors, and legacy transcoding systems.

About HD Cloud
HD Cloud, developed by Diversion Media, is a video technology service provider that enables automated video encoding and transcoding for publishers. The company provides next-generation web video services based on proprietary technology to customers. Based in New York City, the company is privately held. For more information, please visit the company web site at


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EDITOR’S NOTE: If you would like a color photograph of Nicholas Butterworth, CEO of HD Cloud, or screenshots of the HD Accelerate technology or the HD Cloud service, please contact Chris Pfaff on 201-218-0262 or