Report: Twitter buying mobile ad retargeting firm for ~$100M (updated)


Re/code reports Twitter (TWTR - unchanged) is "in the process" of buying TapCommerce, the owner of a leading mobile ad retargeting platform (delivers ads based on user activity on other sites/apps). Sources state the price is around $100M.

TapCommerce claims its platform delivers ads on 50K+ iOS/Android apps, and handles 15B+ (automated) ad impression bids each day. It gets paid on a per-click basis.

Twitter already delivers retargeted ads on its site and apps, and was reported last year to be hatching plans to offer them via its MoPub mobile ad exchange. Acquiring TapCommerce would eliminate the need for MoPub to offer an in-house solution.

Earlier this month, Twitter announced it has bought Namo Media, provider of a native ad platform for mobile apps. The purchase price was reportedly ~$50M.

Update: Twitter confirms the deal. No purchase price is given. "Together with the TapCommerce team, Twitter will be able to offer mobile app marketers more robust capabilities for app re-engagement, tools and managed service solutions for real-time programmatic buying, and better measurement capabilities."

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Comments (11)
  • NLTInvestor
    , contributor
    Comments (394) | Send Message
     
    twitter vs fb on acquiring random stuff
    30 Jun 2014, 05:00 PM Reply Like
  • KoacNation
    , contributor
    Comments (1070) | Send Message
     
    TWTR clearly has decided that expanding the user base is a lost cause.

     

    All their recent aqs have been to milk more money from existing users and nothing has been said or done to increase the number of users.

     

    Not saying that strategy is right or wrong.

     

    Just that it seems this is the direction they are stressing.

     

    Anyone agree or see it differently?
    30 Jun 2014, 05:03 PM Reply Like
  • 22643611
    , contributor
    Comments (2099) | Send Message
     
    @Koac, I would tend to agree. After all we are inundated with
    enticements to see what others are saying, get scores, find out about products, etc...by joining twitter on all mediums on a daily basis.
    And this has been going on for quite some time. Twitter is not new by any means.
    I have a daughter (19) and a son (27) who use TWTR sparingly along with other social media like instagram snapchat fb whereas my other daughter (23) has never used TWTR nor have my wife or I. I don't see their user base going up that much from here except during things like the World Cup (so it will be temporary) or other big time sporting events.
    I do think it membership will continue to slowly rise but what really matters
    more is usage. many join and rarely use it or use it one and done.
    30 Jun 2014, 06:28 PM Reply Like
  • dan gawrys
    , contributor
    Comments (4) | Send Message
     
    Tired of ad spam, never click on them...
    30 Jun 2014, 05:48 PM Reply Like
  • Equitable Research
    , contributor
    Comments (2200) | Send Message
     
    Curious as to the revenues this TapCommerce company has. I think they are a very very tiny operation. Probably bought at 5 times sales or more. I've written extensively about YUME and they have the same technology (SDK embedded in apps - which is where you want to be right now) and are a MUCH larger entity and trade under 1 times sales. Good one to look at for those looking for exposure in this space.
    30 Jun 2014, 06:16 PM Reply Like
  • 3D Investing
    , contributor
    Comments (1552) | Send Message
     
    TWTR is trying to grow revenue every way it can to justify its lofty valuation. The biggest problem is when they become a house of card and their core business cannot maintain decent organic growth.
    30 Jun 2014, 06:43 PM Reply Like
  • KoacNation
    , contributor
    Comments (1070) | Send Message
     
    how many different companies do they need to buy that seem to do the exact same thing?

     

    They all are about targeting the right ad for a specific person.

     

    How not shocking would it be to find out the TWTR top guys got shares in the companies they are buying to help themselves cash out better?

     

    Given the record of Wall St and corporate America this accusation is hardly ridiculous.

     

    TWTR is a 140 character free international text message board that is valued at $30billion for some reason that sells ads on people's phones. Ads that 95% or more are never ever wanted much less clicked on

     

    Mind boggling.
    30 Jun 2014, 07:37 PM Reply Like
  • Equitable Research
    , contributor
    Comments (2200) | Send Message
     
    TapCommerce is an SDK driven mobile app ad network. Twitter doesn't have this technology at the moment, so its not repetitive. Also in response to Tri, I don't think that TapCommerce revenues are even material for Twitter, so I would say that the motivation for buying is to take advantage of a strong secular technological trend rather than pad revenues. I would guess that TapCommerce does under $20M/year in revenues. With that said, I don't think Twitter is a good buy at these levels (or anywhere near them).
    30 Jun 2014, 07:48 PM Reply Like
  • racchole
    , contributor
    Comments (465) | Send Message
     
    TWTR is used by a lot of professionals and it's slow adoption will one day become obvious to everyone.
    30 Jun 2014, 07:33 PM Reply Like
  • mizzou53
    , contributor
    Comments (23) | Send Message
     
    Hey, lots of negatve comments. What the hell, it sure will not hurt the price of twtr. Will it? As an owner I like the move. Those with no position do not worry me with their comments........be cool
    30 Jun 2014, 09:59 PM Reply Like
  • mizzou53
    , contributor
    Comments (23) | Send Message
     
    Tue morning. Looks like some buyers of TWTR liked the 100 m acquisition. I do. Companys usually dont spend 100 m just for the hell of it. ....Be cool
    1 Jul 2014, 09:59 AM Reply Like
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