AT&T is buying ad platform AppNexus for at least $1.6B
The world' largest independent digital ad exchange 🤑
Posted on June 25, 2018 4:50 PM.
TechCrunchIngrid Lunden
Today, AT&T confirmed that it is buying AppNexus, a programmatic advertising marketplace that competes against the likes of Google and Facebookand describes itself as the world’s largest independent digital ad exchange.
While AT&T didn't comment on the financial terms of the deal, rumors around a $1.6B to $2B deal were reported last week. AppNexus had filed for an IPO in November, which valued the company between $1.5B and $2B, but the deal never went through. This news of another large acquisition comes just after AT&T closed its deal to acquire Time Warner Cable for $85B.
Now that AT&T has a mobile network, access to video and entertainment content, and an ad platform, they can begin to leverage their new acquisition of AppNexus monetize the content.
“Ad tech unites real-time analytics and technology with our premium TV and video content,” said Brian Lesser, CEO of AT&T’s advertising and analytics group. “So, we went out and found the strongest player in the space.”
The acquisition also helps AT&T compete against bigger players in the advertising space, like Alphabet's Google, and Facebook.
ReutersSonam Rai
“Think of this as buying a sofa to furnish the new house (Time Warner) they just bought,” said Moffett Nathanson analyst Craig Moffett, adding that AppNexus will add muscle to AT&T’s strategy of making its ads more targeted.
A person familiar with the matter says this marketplace will remain, which gives AT&T access to AppNexus’s global advertiser and publisher clients and will expand its presence beyond the U.S.
The acquisition is expected to close in the third quarter of 2018.

Interested in product and tech related news? Check out the Sip News app by Product Hunt. Every weekday, Sip surfaces the most exciting and essential tech stories of the day. You can download it now for iOS or Android.