Adobe announced that it has entered a definitive agreement to acquire TubeMogul, a video advertising solution provider, for approximately $540 million. The company states that the acquisition will create an end-to-end advertising and data management solution for video content.
The TubeMogul platform enables brands and agencies to plan and buy video advertising across desktops, mobile, streaming devices and TVs. The acquisition aims to simplify the task of digital advertising via video content by providing users first-party data and measurement tools from Adobe Audience Manager and Adobe Analytics.
Both companies will continue to operate as separate entities until the deal closes. TubeMogul CEO Brett Wilson will continue to lead the TubeMogul team as part of Adobe’s Digital Marketing business.
“Adobe and TubeMogul share a similar culture and vision for the future of advertising,” said Wilson in a statement. “The combination of Adobe Marketing Cloud with TubeMogul’s software creates a uniquely comprehensive platform that will help marketers always know what’s working — and act on it.”
Adobe’s EVP and GM of Digital Marketing Brand Brad Rencher also said that “with the acquisition of TubeMogul, Adobe will give customers a ‘one-stop shop’ for video advertising, providing even more strategic value for Adobe Marketing Cloud customers.”
The acquisition is expected to close during the first quarter of Adobe’s 2017 fiscal year.