July 28, 2014 0 Comments
Marissa’s mobile revolution
Last week, Yahoo announced its acquisition of Flurry for an estimated price tag of $300 million. So what is Flurry and why is Yahoo interested in it? Flurry is one of the world’s leading app analytics and ad platform companies. Their platform analyses app usage giving customers insight into users behaviour, and tracking the performance of their apps. In addition, Flurry also uses analytics to serve specialised, targeted mobile ads. According to news sources, Flurry’s Software Development Kit or SDK is in over half a million apps and in 1.3 billion devices. Simply put, Flurry is everywhere. In fact, according to the company, they are monitoring seven to 10 apps in a typical smartphone.
Despite taking over $60 million in initial funding from VCs, Flurry recently closed a $10 million debt financing round, which many believe was used to cover cash-flow issues. So why would Yahoo pay a premium for a leaking boat? Yahoo wants and needs to strengthen its mobile advertising business. On last count Flurry has over 300 million users in mainland China. Solidifying its presence in the US market and acquiring a position in China where US competitors like Facebook have battled the great firewall gives them an edge in one of the fastest growing platforms, in one of the fastest growing markets for consumer traffic globally. Marissa’s mobile revolution is only beginning, and we predict that mobile video will play a big part of an evolving Yahoo.
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