Facebook acquires video ad company LiveRail to expand its presence on the Web, committed to its desire to be more than just an app on your smartphone.
Facebook is becoming more and more like Google and Apple these days. Having acquired drone manufacturer Ascenta this Spring and virtual reality company Oculus Rift, Mark Zuckerberg’s social media company has now purchased video advertising company LiveRail for $500 million. Facebook intends to use LiveRail’s video ad targeting technology to increase its own presence across the Web – with video ads targeted to the right customer base. While LiveRail does give video ad tech to publishers, it also puts marketers in touch with sites that allow for video ad targeting tech. If you’re a marketer, the social networking aspect of LiveRail means that you can extend your presence online through a number of sites.
Facebook says that, for now, it intends to maintain LiveRail as a separate company, but will integrate its video-ad targeting into Facebook.
Facebook Ads Product Marketing Vice President Brian Boland said that LiveRail and Facebook will be an unstoppable team: “We believe that LiveRail’s excellent product – known in the industry as a video supply-side platform or SSP – and Facebook’s expertise with relevancy, delivery and measurement will make video advertising much better for everyone.” LiveRail CEO Mark Trefgarne said that LiveRail, in partnership with Facebook, “has the opportunity to redefine the ad tech landscape.”
As for LiveRail, the company was created in 2007 and has ABC Family, Dailymotion, A&E Networks, and Major League Baseball for some of its customer base. The company made $60 million in gross revenue and $22 million in net revenue in 2013. Facebook has now acquired six companies this year: link-sharing company Branch, texting company WhatsApp, drone manufacturer Ascenta, virtual reality handset maker Oculus Rift, Finnish mobile data firm Pryte, and now video ad tech company LiveRail.