Jack Dorsey, Twitter CEO and co-founder and CEO of Square, spoke during the Bitcoin 2021 Crypto-Currency Conference on June 4, 2021 at the Mana Convention Center in Miami, Florida.
Marco Bello | AFP | Getty Images
Twitter on Wednesday announced sales for Mo 1.05 billion to its MoPub mobile ad network AppLovin, a game developer and ad-tech company.
Twitter says it is selling MoPub to accelerate the development and growth of its owned and managed revenue products. The sales are in line with Twitter’s goal of reaching 7. 7.5 billion in revenue by 2023.
Shares of Applewin jumped more than 8% in extended trading on Wednesday. Twitter’s share has risen more than 2%.
Twitter CEO Jack Dorsey said in a statement: “These transactions increase our focus and confidence in our revenue product roadmap, accelerating Twitter’s position for long-term growth and our ability to invest in key products in the best possible public conversation environment.”
MOPOB earned million 1 million for Twitter in 2020, the company said on Wednesday. This represents about 5.9% of the company’s advertising revenue in 2020 and a little over 5% of its total sales for the year.
Twitter said it would provide additional details on the deal’s estimated financial impact when it reports its third-quarter earnings on Oct. 2.
Mopob went on sale after Apple launched iOS 14.5 in April, a version of its mobile operating system that makes it more difficult for advertisers to track user activity on their iPhone and iPad.
According to AppLovin’s press release on Wednesday, the MoPub network uses 45,000 mobile apps and has reached 1.5 billion address users. The deal is expected to expire next year.
“We are thrilled with the opportunity to expand the Applewin platform and further improve our publisher’s monetization tools,” Adam Farufi, Applewin’s chief executive, said in a statement. “We welcome the MoPub team and together we will work diligently to bring MoPub’s best to the AppLovin software platform.”
Applewin’s business is divided into games, which make a lot of money from the sale of virtual items, and marketing tools that other game developers use to promote the app.
Founded in 2011, Applewin initially focused on helping mobile apps discover and generate revenue. In 2018, the company raised 2 billion from KKR to expand its business into game development, primarily through acquisitions. AppLovin’s market cap is close to $ 29 billion as of Wednesday’s close.
Just before the company launched its public market share in September 2001, Twitter bought about million 1 million worth of stock from MOPOB. The purpose of the purchase was to increase Twitter’s ability to generate revenue from mobile advertising.
Clock: Twitter is selling MoPub to Applewin