Roku buys Dataxu, a platform that allows sellers to plan and buy video advertising campaigns, for $ 150 million in cash and stock. The agreement was announced on Tuesday morning. Roku shares rose more than 2% on Tuesday morning.
Dataxu (pronounced: Data zoo), based in Boston, is a demand-driven platform that provides vendors with automated bid and self-service management software to manage platform-based advertising campaigns. digital.
— Hollywood Reporter (@THR) October 22, 2019
Roku said the purchase of the Dataxu platform will complement its existing advertising platform and provide marketers with a software solution that allows them to plan, purchase and optimize their advertising spend on exaggerated TV channels and providers. The company also said the Dataxu team included “solid talent” in software engineering, data science, and analytics.
The agreement should be finalized by the end of the year.
“Television advertising is moving towards OTT and a data-driven model focused on branded business results,” said Anthony Wood, Roku’s chief executive, in a statement. “The acquisition of Dataxu will accelerate our advertising platform while helping our content partners to further monetize their inventory.”
DataXu co-founder and CEO Mike Baker wrote in a blog that “the company’s vision has always been to put its capabilities at the service of powerful media. TV “He added that” for now, our customers, our partners, and our employees have continued their activities “.
A year ago, the Wall Street Journal announced that Dataxu had hired the investment bank GCA Advisors while considering a potential sale. According to the report, Dataxu initially sought a valuation of approximately $ 300 million. According to Crunchbase, Dataxu collected $ 87.5 million.
In July, Amazon announced that it has opened its integrated TV apps integrated with Amazon Publisher Services for advertisers working with Dataxu and The Trade Desk. This opened the ad inventory for third-party TV content providers on Amazon Fire TV devices for advertisers working with external companies.