Television streaming box provider Roku agreed yesterday to acquire Dataxu, the US-based operator of a programmatic video ad buying platform, in a $150m deal that will allow broadcaster Sky to exit.
The transaction will involve a combination of cash and shares but marks a significant fall in value from the touted $1bn valuation at which Dataxu last raised money in 2016. It is also half the size of the deal it had been seeking a year ago, according to the Wall Street Journal.
Dataxu has developed automated demand-side video advertising buying software that allows ads to be managed across television and over-the-top (OTT) video platforms. The product includes media planning options specialised for each type of video as well as data science tools.
The technology will support Roku’s OTT advertising service and enable it to provide a service where advertising spending can be optimised across both TV and OTT programming.
Roku CEO Anthony Wood said: “TV advertising is shifting toward OTT and a data-driven model focused on business outcomes for brands. The acquisition of Dataxu will accelerate our ad platform while also helping our content partners monetise their inventory even more effectively.”
Dataxu had raised $66m as of 2016 when it received $10m in funding from Sky. Its earlier backers include Thomvest Ventures, Flybridge Capital Partners, Menlo Ventures and Atlas Venture.
