It started as a simple tool to upload videos to multiple services. But now TubeMogul is becoming the latest addition to Adobe's media technology stack.
The Emeryville, CA-based company has just confirmed an agreement to be acquired by the digital media powerhouse for $540m.
What does Adobe want with TubeMogul? According to its announcement: "Adobe's acquisition of TubeMogul will create the first end-to-end independent advertising and data management solution that spans TV and digital formats, simplifying what has been a complex and fragmented process for the world's biggest brands."
TubeMogul has software to enable planning, buying, measurement and optimizing of programmatic, cross-screen TV advertising. It went public two years ago, for half this value.
"We aim to be totally aligned with advertisers so they never second guess the incentives," TubeMogul CEO Brett Wilson tells The Wall Street Journal.
The acquisition is a further sign of consolidation in a video ad-tech ecosystem where the number of companies has grown dizzyingly.
Across the landscape, companies are bolting on point solutions to go end-to-end. Mar-tech M&A advisory group Results International Group reports 331 mergers and acquisitions took place in ad-tech and marketing-tech in the first nine months of this year. Digiday calls the TubeMogul acquisition a "tipping point" for this consolidation.
Previously, AOL had acquired Adap.tv in the space, helping its effort to form its One offering.
TubeMogul's Wilson recognizes the need for consolidation. Back in June, he told Beet.TV: "I think what's actually happening is it's getting more fragmented, not less so. Yes there's some very dominant players out there. But there's also huge new platforms that didn't even exist a couple of years ago like Snapchat. So the implication for advertisers is it's getting more complicated and fragmented."
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