Social media giant Twitter has purchased mobile ad inventory company MoPub for a reported total of $US350 million.
MoPub is a service that allows app publishers to control their ad inventory for a number of different types of ads – including direct ads, house ads, ad network and real-time bidding – through a single system across iOS and Android.
The service was founded by former AdMob and Google staff, and offers similar mobile ad inventory management capabilities to Google.
In its statement, Twitter says mobile advertising will be an increasingly important part of its business strategy going forward.
“The two major trends in the ad world right now are the rapid consumer shift toward mobile usage, and the industry shift to programmatic buying.
“Twitter sits at the intersection of these, and we think by bringing MoPub’s technology and team to Twitter, we can further drive these trends for the benefit of consumers, advertisers and agencies.”
For its part, MoPub stresses that it will not cease offering its services to other publishers.
“It’s important to underscore that our commitment to you, the publisher, will not change. In fact, it will be strengthened. Twitter will invest in our core business and we will continue to build the tools and technology you need to better run your mobile advertising business.”
While the companies have not offered a firm figure for the takeover, Reuters is reporting the MoPub owners will be paid $US350 million in Twitter stock as part of the deal, assigning a value of around $US20 each for the shares.