So, Autonomy is divesting Blinkx, the video search engine - a clever move considering it claims not to own the company. But there again, Autonomy does not own its own technology either (Cambridge Neurodynamics licences it to Autonomy) but still managed a multi billion valuation back in the day.
There's no doubt that they wouldn't have made this public if it wasn't for the fact that the advisers are confident they can underwrite the deal. London is a far more benevolent market than the US markets, as Jump TV has proven with its sky high valuation and tiny revenue stream. Although word has it that the IPO follows an inability to make a trade sale at the 'right' valuation.
Apart from (re-)licensing, I fail to see where Blinkx generates its revenues (or, indeed, intends to generate its revenues), although you would have said that of Google not so long ago.
So, David and Goliath - a great business story and it will be hyped beyond belief. The trouble is that Google has the ad engine and they have Doubleclick.
Investors need to seriously take a look at Blinkx' ability to play catch up in this market, even though they clearly lead Google in terms of their search capability (and their video wall app is cool also). And the ownership is a can of worms.