Today Twitter announced that it’s acquired Magic Pony, an 18-month-old machine learning startup with a funny name.

In a blog post, Twitter CEO Jack Dorsey said the startup’s tech “will be used to enhance our strength in live and video and opens up a whole lot of exciting creative possibilities for Twitter.”

A Twitter spokesperson declined to share how much the company paid for Magic Pony. TechCrunch, citing sources, says Twitter will pay $150 million for the company, including bonuses.

Twitter’s commitment to live video is clearly no joke, but the company faces stiff competition: Facebook, Snapchat, and YouTube are also fiercely competing for live video views.

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Dorsey said Magic Pony’s staff will join a team inside Twitter that’s “dedicated to building a product in which people can easily find new experiences to share and participate in.” That “product” is a reference to Twitter itself, not an entirely new service, a Twitter spokesperson said.

Magic Pony said in a separate announcement that Twitter will use its “technology to improve the visual experiences that are delivered across their apps.”

Updated 6:57 a.m. PT with details on the price.

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