Cheetah Mobile Inc.NYSE
Mar. 16, 2015, 11:44 AM
- Cheetah Mobile (CMCM +2.3%) is acquiring MobPartner, provider of a mobile ad network (and related services) connecting marketers and publishers, for $58M in cash and stock.
- MobPartner claims to reach 200M+ mobile users globally via 10K+ publishers and 500+ advertisers. Presumably, Cheetah will add its own apps (340M+ MAUs, with 65% outside of China) to MobPartner's network, thus significantly boosting its scale.
- The mobile display ad market remains both very fragmented and very competitive; Google, Facebook, Twitter, and Apple are all battling for a chunk of the market, as are independent players such as Millennial Media. VC Bill Gurley just argued a tech startup shakeout will hurt companies dependent on ad spend from startups promoting their apps.