Last fall, Podtech‘s then VP Robert Scoble said “Reports of PodTech’s demise are bull####!”

Now, VentureBeat reports that podcasting startup PodTech has been purchased by ViewPartner, a communications technology company.  PodTech sold for under half a million dollars, a fraction of the $7.5 million invested in the company.

PodTech struggled from the beginning to find a direction, and failed despite:

• multiple rounds of generous funding;
• unrelenting growth of interest in podcasts;
• A-list talent from the blogging world;
• people abandoning television for Internet video in droves; and
• growing interest among advertisers in podcasts and other Internet media.

Instead of riding this wave of growth, the company tried to make its name with video podcasts “just slightly more entertaining than watching paint dry.”

“The network has about 20 shows they list on their website. Have you heard of any of them?” asked RocketBoom creator Andrew Baron last year. “They are mostly missing that important role of creating compelling content that will resonate with enough people to sustain and grow.”

In addition to struggling to make watchable content, PodTech struggled with its PR. Valleywag called it “the Valley’s worst video network.” TechCrunch told the company “if your messaging isn’t clear, don’t shoot the messenger. Clean up your own mess first.”

Even Fake Steve Jobs something bad to say about the company, saying PodTech is “heading for the big sleep.”

ViewPartner hopes to capitalize on PodTech’s corporate consulting business.

Update: Rocketboom’s Andrew Baron’s take on this: “In short, they first came out of the stables thinking that building a studio ad network would be a no brainer and spent over $7M building out shows and an ad sales department. Not only were they too soon and up against too much compeition on the ad sales side, they didn’t have anyone in the network who could identify what good content was.“

Here’s the text of the ViewPartner/PodTech announcement:

ViewPartner Corporation Buys PodTech

LOS ANGELES–(BUSINESS WIRE)–ViewPartner, a multi-million dollar company based in Los-Angeles that owns and operates communication technologies, has bought PodTech Network, the leading social-media company for developing, producing, and distributing podcasts to drive brand engagement for Fortune 1000 companies. The core executive, production and creative team of PodTech remains in tact. Terms of the acquisition were not disclosed.

According to Alex Varonos, CEO of ViewPartner, “The PodTech team led by co-founder, Jason Lopez, and Darold Massaro, vice president of sales, is what attracted us to this company. We believe in these people and will make certain that PodTech and its clients have the financial and strategic support to take podcasting or any kind of broadcasting on the Net to the next level.”

Mr. Varonos explained that PodTech has the platform to drive brand engagement. “And the platform will be enhanced with capabilities that just an agency or service organization cannot deliver. PodTech will be the first to deliver HD quality broadcast on the Internet within the next year. It will make the brand experience richer for clients. And this is the team that will take it to market.”

Jason Lopez, PodTech cofounder and vice president of creative development, commented, “This assures that the people and companies with great stories to tell will be able to do so in a compelling format. With ViewPartner, we are assured of the tools to move from downloadable media to the next generation of communication. Our team comes from broadcast media, so we’re really excited about where this platform can go. It will be an exciting ride for our clients.”

Added Darold Massaro, PodTech vice president of sales, “While we continue to support our existing network and provide quality video and social media strategies with a total focus on client satisfaction, we will be announcing continuous upgrades to our technology. Our clients will be on the cutting edge of distributed video and audio communication.”