The spate of acquisitions in the mobile ad space continued on Wednesday with the announcement that Amobee Media Systems, an ad network based in Redwood City, CA, is buying Ring Ring Media, a London-based mobile ad agency.
Zohar Levkovitz, CEO and co-founder of Amobee, said the deal will create a seamless mobile ad offering allowing large companies to purchase wide-ranging, international campaigns.
"This acquisition solves an industry issue," Levkovitz said in a written statement. "By leveraging the RingRing Exchange we are able to streamline the process and connect supply and demand using the best technology on the market. In doing so, we will be able to reduce the friction associated with today's mobile media buying and offer a more integrated mobile advertising experience to our customers."
Terms of the deal were not disclosed, but Ring Ring claims revenues of about $2 million a month. Amobee consisted of 75 employees before the purchase, and will now add 20 more. RingRing will continue to operate as its own brand.
While consolidation is quickly becoming a fact of life for smaller companies looking to stay relevant in the mobile ad business, Levkovitz said the RingRing deal should not be viewed as a response to the recent spate of acquisitions.
"This is not a reaction at all to the Google or Apple acquisitions," said Levkovitz in a telephone interviuew. "Actually, we started the process before we knew about them."
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Douglas Quenqua is a journalist based in Brooklyn, NY who writes about culture and technology. His work has appeared in The New York Times, Wired, The New York Observer, and Fortune.
June 20, 2013
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