AOL acquires Millennial Media to bolster in-app and mobile smarts

Deal is valued at about US$250 million

AOL has acquired mobile ad tech platform, Millennial Media, for about US$250 million as it looks to bolster its in-app and mobile capabilities. After months of industry speculation, the company confirmed that it had entered into an agreement on 3 September to acquire US-based Millennial Media for $1.75 per share in common stock.

The deal comes four months after AOL was itself acquired by Verizon Communications for about $4.4 billion. In a statement, AOL said the acquisition will give it one of the world’s leading supply-side platforms for app monetisation with more than 65,000 apps, as well as bring in significant mobile engineering, sales and product talent to the business.

Under the agreement, Millennial will become a wholly-owned subsidiary of AOL. The company also expects the deal to accelerate its mobile position in a number of international territories including Singapore, Japan, UK, France and Germany, while giving it access to about 1 billion active unique users.

“As we continue to invest in our platforms and technology, the acquisition of Millennial Media accelerates our competitive mobile offering in One by AOL and enhances our current publisher offering with an ‘all in’ monetisation platform for app developers,” said AOL president, Bob Lord, in a statement. .

The platform smarts stemmed from several acquisitions made by AOL, including Adap.TV for video ads, and Gravity for personalising ads.

Millennial Media was founded in 2006 and has made its own acquisitions in recent years to strengthen its mobile programmatic ad assets, including mobile analytics firm, TapMetrics; mobile data startup, Condaptive; mobile real-time bidding startup, Metaresolver, mobile ad tech rival, Jumptap and mobile exchange player, Nexage. The company raised $130m during a 2012 IPO.

The acquisition caps off a busy few months for AOL as it seeks to establish the prowess required to compete with digital advertising stalwarts such as Google, Twitter and Facebook. In June, Microsoft handed AOL the reins to its digital advertising business in nine markets, a deal which also sees AOL use Bing to power search through its website.

Closer to home, AOL Platforms joined forces with Foxtel’s Multi Channel Network (MSN) in June to launch programmatic television inventory buying in Australia through a private exchange.

Follow CMO on Twitter: @CMOAustralia, take part in the CMO Australia conversation on LinkedIn: CMO Australia, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+: google.com/+CmoAu

Join the CMO newsletter!

Error: Please check your email address.
Show Comments

Supporting Association

Blog Posts

Behaviour change, by design

​We’re living in an age of unprecedented change. We experience with Oculus Rift, invest with Acorns, consume video through Hyper, tune into Pandora and navigate with Waze.

Glen Jeffreys

Head of UX, Deepend Group

Chat bots: How to use them commercially right now

I’m sure that many of you out there have heard a lot about chat bots (aka messaging bots) recently, and the fact that they are here to stay is pretty evident by now.

Deniz Nalbantoglu

Managing director, Webling-Interactive

Top tips to uncovering consumer insights for business innovation

An in-depth understanding of consumers sits at the heart of what we all need to do, but we know it’s not always easy to uncover insights that will unlock a true innovation opportunity.

Matt Whale

Managing director, How To Impact

There is a new digital capture tool called QuickTrials app (www.quicktrials.com) that allows people who conduct Field Trials to collect t...

Quick Trials

How a new digital and data strategy for agriculture is helping farmers innovate

Read more

Recommendation engine is a great example of AI / ML.

Francis Kim

Chat bots: How to use them commercially right now - Big data delivery - CMO Australia

Read more

This new logo is offensively bad! And stop flashing it at us in between points on the television coverage. Trying to subliminally program...

Simon

Tennis Australia unwraps new brand identity for Australian Open

Read more

Thanks, Nadia. It was so interesting blog for me because it helps me able to understand well on the basics of business and marketing conc...

term paper help online

3 ways marketers can raise their executive influence

Read more

Having been to the AO on Wednesday for the first time in a number of years I was very impressed with the new branding. The event has evol...

Naomi

Tennis Australia unwraps new brand identity for Australian Open

Read more

Latest Podcast

More podcasts

Sign in