The technology giant AOL is buying the eb video startup 5Min Media very soon. The purchasing price hasn’t yet been finalized precisely but it could be somewhere around $50 million and $65 million, as the sources say. The deal will hopefully be announced on Tuesday morning by AOL

5Min has proven itself as a successful company in its fledgling career. It raised around $13 million in three years. CEO of 5 Min Media Ran Harnevo said that he could make more money as the company was offered the chance to raise some more amount at very compelling valuations.The deal will soon be finalized and AOL will have its hands on 5 Min Media very soon. The secret video strategy that AOL is coming up with in very recent future is marked by this takeover on 5 Min Media.

5Min takes up video clips made by people and distributes them to other people’s Web sites. The videos come from people, totally strangers to your and others that you are connected to inside your network. 5 Min Media is content at serving the videos on its own and isn’t interested in getting them on Youtube. 5 Min though not remotely as big as 10 percent of Youtube claims that it has a library of 200,000 clips that generate a whopping 110 million views a month, across 800 partner sites. This number itself justifies why AOL laid its hands on the company.

5 Min Media isn’t much of an attractive deal for company as colossal as AOL, unless the distribution rights are retained upon acquisition. This company will go in tandem with Studio Now, the video creation engine that AOL bought earlier this year. This venture will save AOL lots of cash in the long run as with the aid of StudioNow, AOL is making and will make a lot of videos at low cost.