Twitter has agreed to sell MoPub to marketing software company AppLovin for USD 1.05 billion. Twitter said it will now focus on its other owned and operated products, and namely its performance-based advertising SME offerings and commerce initiatives. CFO Ned Segal said the company wants to concentrate on the “massive potential” for ads on its website and in its apps.
The deal has been approved by the Twitter board of directors and should close in the coming months.
Twitter reiterated its goal of at least doubling annual revenues to USD 7.5 billion or more in 2023, from 3.7 billion in 2020. In 2020, MoPub generated about USD 188 million in annual revenue, under the company’s Data Licensing and Other heading. The company said it will provide more details regarding any future financial impact from the deal, when it reports its third quarter results on 26 October. As a reminder, Twitter noted it will record a charge to operations during Q3 for the USD 809.5 million litigation settlement it announced last month. The company agreed to apy to settle claims it violated stock market regulations in the US.
AppLovin noted that MoPub software is used by 45,000 mobile apps to manage their monetisation and that it reaches 1.5 billion addressable users worldwide. AppLovin plans to integrate MoPub’s reach and product features into its own existing platform.
