Stage6

San Diego-based DivX is shutting down video sharing site Stage6, a site that supported about 17.6 million monthly visitors.

Stage6 was launched by Divx in 2006. It was positioned as a way to market the capabilities of the DivX codec to a mainstream audience. The high-quality video site drew generous views, despite little promotion.

Speculations about the reason for the shutdown stem from potential piracy issues or the high costs of streaming HD content. TechCrunch suggests the decision was made after an internal disagreement that drove most of the team to quit.

"The continued operation of Stage6 is a very expensive enterprise that requires an enormous amount of attention and resources that we are not in a position to continue to provide," wrote employee "Tom (aka Spinner)," a DivX employee, in a letter that appeared on the Stage6 website.

"There are a lot of other details involved, but at the end of the day it's really as simple as that."

Stage6 shuts down February 28.