The series of acquisitions, totaling $1 billion, were made to develop Digital Turbine’s mobile ad solution into an end-to-end experience for a range of clients. Digital Turbine mainly works with telecom companies to provide on-device technology that enables app and content discovery. Fyber brings to the table a strong relationship with app developers, with whom it provides services such as ad monetization tools and a mobile ad exchange. AdColony works with traditional brands, such as those on the Fortune 500 list, to enable app installs and app-to-device distribution. Appreciate’s DSP platform allows for app-to-app distribution.
By combining each of these businesses into one identity, Digital Turbine hopes to make the company easier for clients to navigate and understand, said Itai Cohen, senior VP of marketing and strategy at Digital Turbine.
“It's more convoluted and difficult to explain this value proposition when you have to jump from one branch to another because different pieces contribute different parts of the value,” he said.
Integration is also a way for Digital Turbine to compete with other companies that have recently consolidated in the mobile advertising sector. AppLovin bought measurement firm Adjust in April 2021 and bought SSP MoPub from Twitter in a deal that closed in January 2022. India-based ad network InMobi bought a measurement company, Appsumer, in October.
Digital Turbine’s revenue more than doubled to $747.6 million in fiscal 2022, which ended in March, aided by the acquisitions. Revenue jumped 41% in fiscal 2022 when assuming the recently added businesses were owned throughout fiscal years 2021 and 2022.
