WOW! MatPat’s $1.7 Million Defy Media Bombshell, BuzzFeed Mass Layoffs, Venezuela, & Trump v Pelosi

Sup you beautiful bastards, hope you’re having a fantastic Thursday Welcome back to the Philip Defranco show and a quick note before we get started This morning if you didn’t see, we posted a brand new morning deep dive I saw some of you say you didn’t get your notification, they didn’t show up in your subscription so be sure to check it out it’s a really good one but, as far as this PDS, let’s just jump into it And the first thing we’re going to talk about today is it’s massive industry news but it’s just massive news in general. As you may recall, over the past few months we’ve talked about Defy Media a few times. They’re a massive MCN, the owners of Smosh, Clevver, AWE me, among others, And it was massive news when at the end of the year, seemingly out of no where, they just announced, it was over. We were seeing reports that on January 2nd they would be shutting down they would be laying off 80 people on their staff and the reaction from many especially those that had been involved, is “how the hell did this happen”? One of the last times something was reported about the company before this was that they got 70 million dollars in investment, and all of a sudden you had channels that seemingly were homeless, didn’t have support systems in place, people wondering where their money was and today we got a massive update from MatPat aka the game theorist – and in part I’m covering this not only because I think it’s important, I think it is interesting, but because MatPat himself put out a request for others to talk about it. One of the biggest revelations in his video, was this: “Collectively, us 50 had 1.7 million dollars stolen from us… 1.7 million dollars. And you can also tell in this video it’s not just the money, although that is important, you can see that he feels personally betrayed “And if that wasn’t bad enough, in my case, it was taken by someone who I thought I knew. Someone who I thought I could trust. Someone who only weeks after giving birth to Oliver hopped on the phone with Stephanie and I and lied directly to faces knowing full well that he intended to take our money but, oh no, he’s going to offer us some newborn advice.” He then goes on, talking about the questionable way that they ran their business, also giving a background on how some MCNs work essentially how part of their whole business structure is make themselves seem bigger or more profitable than they actually are. Right, if you don’t know it’s been common practice for MCNs to take a slice of money that you make from AdSense, part of the money you make from ad deals, and then they pay you out, so on their books the gross amount of money that they are making is huge even if their only keeping a little bit. But MatPat goes on to say they even did other kind of shady stuff to make their bank account seem bigger: “Defy even asked us if they could delay paying us our AdSense for a month we didn’t know why they asked, but we wanted to be a good partner so we said sure. We found later, and by later I mean recently, that they kept the money to make their books look better for the investors.

100 Replies to “WOW! MatPat’s $1.7 Million Defy Media Bombshell, BuzzFeed Mass Layoffs, Venezuela, & Trump v Pelosi

  1. DEFY 00:19 – TIA 5:00 – Buzzfeed Layoffs 6:29 – Trump vs Pelosi 11:03 – Venezuela 14:55
    Hey there! Hope you enjoy today's show. If today's video gets 12 likes tomorrows video will be over 20 minutes again. Also when you're done be sure to check out this morning's extra morning news show!

  2. As a Bolivian, wanna know why Bolivia doesnt support Venezuelas interim president? Bolivia sends Cocaine to their broker Venezuela. Look it up.

  3. I cant get a job and i want to kill myself. the only thing holding me back is my massive college debt that i cant stick onto my parents

  4. Amlo is a known populist here in Mexico, while he has always been supportive of Maduro, we the people México are very concerned of the people of Venezuela, it has been hard to watch. Also we have many immigrants from Venezuela that came here for work and send money to their families there.

  5. I still sit and shake my head in disbelief every time I see Trump talking as President… it’s so bizarre to those of us in other countries that this clown is president!! He can barely string a sentence together that makes sense… it’s so so strange to me!

  6. A recent poll showed that 72% of Americans believe mainstream media outlets deliberately report stories they know to be fake, false, or deliberately misleading. Seems like any journalist worth his salt should have seen this coming. Sort of explains why so many Buzzfeed employees were caught off guard.

  7. Take it from 10:30 and remember Phil, that you were a millionaire prior to doing what you do and if the shit hit the fan, you, YOU, will be fine and still rich afterwards. It's your staff that would be out in the cold – so to speak – if you closed shop.

  8. 1.7mil / 50 = $34,000 per person
    That's like… barely a livable wage. That's a bit above $16 an hour which is like an entry level job with an associates degree. At this point they might as well get a job because being a Youtuber is not paying out.

  9. I've heard that Matpat is a piece of shit in real life so there is a good chance he deserved all this happening to him lol.

  10. Well considering that Buzzfeed is full of crap layoffs for them is a good thing hopefully they jusgo bankrupt and go away.

  11. Thank you for talking about Venezuela. Please don't refer to Guaidó as a self proclaimed president, as you said he followd the law.

  12. Venezuela, get out gringo
    America, are you sure you want us to leave? That might make us angry.
    Venezuela: gringo is not really an insult.

  13. So deeply saddened to hear that my own people of Mexico support such an authoritarian dictatorship. When Democrats and Republicans can agree on hating a person, that shows just how despicable that person is. Nicolas Maduro is scum, feasting while his people starve, healthy while his people nearly die of medical neglect, smiling while his people cry. Let us not repeat 1933 and allow a power hungry dictator disguised as "elected leader" to do as he pleases. What happens when his 6 year term ends? does any sober-minded person actually believe he will release his power voluntarily?

  14. Hears BuzzFeed is having massive layoffs King Arthur the holy hand Grenade please, also bourbon anyone?

    Oh and I love the smell of bad companies falling.

  15. As much as it’s difficult for people owed money, I don’t see how this is really a “story” totally. Businesses run out of money at times and when that happens people owed money are left to fight over what’s leftover from the bankruptcy… obviously very unfortunate, but we live in a world where unicorns aren’t real and businesses go bankrupt. What am I missing?

  16. legit the only thing i hate about GT videos is matts voice, home boi sounds like hes been sexually assaulted whilst talking about a game, was appropriate for this vid but still

  17. I'm sure it's been said many times: fuck the Internet news vultures. Buzzfeed/Vice/Vox/Verge and the likes of them can happily die a slow and painful, miserable death. It is the least that they deserve.

  18. yeah they dont give a fuck whos money it is, only that defy had it and defy owed them. thats how leins/loans work?

  19. I wouldn’t understand the news about my own country (Venezuela) if it wasn’t for this gringo giving me the TLDR! Love you Phil 💕

  20. Phillip, PLEASE watch this video about the situation in Venezuela and cover it in your channel PLEASE. @t

    There's been a lot of misinformation about what's been going on in Venezuela, and this is the most accurate video there is explaining the facts behind everything. PLEASE, as a Venezuelan refugee I BEG OF YOU to cover this. We need things to be clear if we ever hope of getting our contry back. THIS WAS NOT A US BACKED COUP. Please Phillip, and everyone in your community, watch this. Share it, repost it, like it, do whatever is in your power to help us out. It doesnt take much and its free.

    Please Phillip, read this and watch this video. @t

  21. I think it is very weird that EVERY single video I have seen that is talking about the Defy Media story (on channels to which I am subscribed) is NOT showing up in my feed. WTF?


  23. The defy media story sounds like an instance where a couple people wake up a few weeks later with a pair of broken knees and a few new aches and pains.
    Not saying that should happen but I seems like that kind of story

  24. Go watch VivaFrei and his video about the matpat defy situation.Dude is a lawyer with the knack of explaining difficult things easily.

  25. They got Philip DeFranco! OMG! How does he not know this? Jenna Marbles doesn’t really exist! Gamers rise up! We need to educate PhillyD on the Jenna Marbles paradox!

  26. It wouldn't matter it's a bank they give no fux about you little people they're making their profit and that's all that matters

  27. The Senate by law can be rounded up and forced to complete their lawful responsibilities. Doubt it's ever going to be enforced.

  28. I wonder, would it be possible for US diplomats in Venezuela to get attacked, leading to our army being sent there? I wonder how it would be seen by the rest of the world.

  29. I bet most of those buzzfeed workers only got hired cause they sucked off the CEO. I doubt they got hired cause of any real job skills 😂

  30. Maybe mat should make a documentary movie out of this to expose the system YouTube has been responsible for facilitating .. nothing wrong with a legit mcn but youtube has a responsibility to help the creators that makes them ..its an investment in themselves honestly

  31. Can you cover the "Youths for Climate" movement that has changed the dynamic in Belgium and has raised awareness to the urgency of climate change. Students are raising their voices and concerns over their and our one and only planet's future. They want mega corporations to take responsibility over their actions and law makers to take their concerns as serious. Our Earth is in jeapordy and so are we because of us. Your coverage would help reach us!

  32. Not much of a surprise honestly. Almost all corporate ventures in America nowadays are totally greed based. Not on providing a service or product or improving aspects of life.

  33. I've never seen MatPat so angry before… but I dont blame him! They stole his money and 49 other creators money! They not only stole from Mat but they stole from his business, his wife… his newborn fucking child!!!
    Defy is a sick business ran by sick people…

  34. The U.S. are really salivating over the biggest reserve of oil and gold.They have pour a lot of resources to put their hands on those reserves and they have been kind of successful.It's so obvious that all this is just to get those resources.The story keeps repeating.All is needed is lots of tax payers money to create chaos in a nation,controlled media and intimidated or blinded citizens ( us citizens and allies) for them to keep taking all resources of the world so only a few can benefit.I'm so ashamed to be a U.S. citizen.

  35. "A figure head for Venezuelan Socialism". No he's not. The country under Chavez has never been Socialist. It's always been capitalist.

  36. I really wish you had a new network of your own man. Unbiased reporting is so refreshing. I dont always agree with you but damn still at least we can still discuss it.

  37. I appreciate MatPat's emotional reaction to the Defy Media situation, but the fact Ally Bank has frozen $1.7 million of Defy's funds does not somehow put Ally Bank in the position of deciding whose claims on that money are the "most important". As I understand it, a trustee in bankruptcy has been appointed to liquidate all of Defy's assets and claw back any recent payments and then decide who gets how much of the money based on how federal bankruptcy law specifies that such money is to be divvied up. It's uninformed to say that this is based on someone's determination of who is "most important". Ally Bank may or may not have a right to keep any of the funds they have frozen, based on how much money Defy owes them and whether they have a "security interest" in any of Defy's assets; the trustee in bankruptcy will examine everyone's claims and their level of security interests and apportion the money as the law dictates, not based on emotional appeals. MatPat just needs to make sure he files a proper claim in order to get his legal piece.

  38. Notifications are a joke. I haven't gotten a youtube notification is like 2 years. I never turned notifs off or anything. In fact I even got a new phone in that time.

  39. For Mattpat and any other creators screwed over by Defy. I would suggest a class action lawsuit against Allied bank and Defy media(what's left of it) for theft. The money that Defy has is literally not theirs, it's the creators. Because Allied invested in a company that committed fraud/theft, they may be liable. Like this so Mattpat sees…lol

  40. I uploaded videos to Reddit and defy media paid me for them. $100 for a 1 minute video of a wasp, $200 for a video of a car fire, and $200 for a video of a dog getting out of her cage. The videos were retarded and I knew they would never get viral traction so I gladly took the upfront money held the hopes maybe one would get traction and they would share adrev proceeds. I also knew if they were paying me that kind of money for the quality of video I was posting, the model wouldn't last long. Thanks defy!

  41. Young people plus new success equals sharks coming to feed. Music industry, Hollywood, sports, etc. Happens time and again.

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