Dive Summary:
- AOL will acquire advertising platform company Adap.Tv for $405 million—$322 million in cash and $83 million in stock.
- Chairman and CEO Tim Armstrong announced the acquisition moments after the company reported better-than-expected earnings Wednesday, saying the buy would "double AOL revenue in the video space."
- Adap.Tv provides software enabling the delivery of targeted ads to viewers and also serves as a marketplace of ad buyers and sellers, and the deal is AOL's latest move toward becoming on of the Internet's main video, content and advertising players.
From the article:
... "There's roughly a $240 billion industry in the TV advertising business, which is going to go from TV to [Internet]-delivered video over the next decade," Armstrong said. "[Adap.Tv] was built to essentially make that transition for advertisers and marketers and for agencies … to help them move their TV budgets to IP-delivered TV." ...
