Mobile start Up Vungle gets US $17 million from Google and AOL Ventures
What: Google, AOL Ventures, and others have invested US $17 million dollars in mobile ad-tech company Vungle.
Why it matters: Mobile advertising is flourishing with an expected US $5 billion dollar increase in spend this year. Mobile ad-tech is growing along with it. Vungle in particular focuses on being the monetization infrastructure apps rely on.
Google, AOL Ventures, and others organizations have invested US $17 million dollars in Vungle, a mobile ad-tech company based in San Francisco. Founded in 2011, Vungle has raised US $25.5 million to date. It has 50 employees and plans to triple that number within the year. Vungle is planning to invest the money on building a suite of monetization tools for mobile app developers, including an in-app mobile video ad exchange.
By serving in-app ads only, the company is challenged to improve its web design which minimizes the need for apps.
Google and AOL are confident that the company will succeed in doing so.
"One day, apps will be everywhere -- in your car, in your contact lenses, on your TV and refrigerator -- and mobile ad tech will have to evolve and adapt," said Vungle CEO Zain Jaffer."80% of user time spent on mobile is spent in-app. Apps will be the dominant form of software on a variety of devices -- leading-edge devices -- for a long time to come, and we are focused on being the monetization infrastructure those apps rely on," he added.
Mobile advertising is growing at a high rate as reflected by the unexpected US $5 billion dollar increase in spend this year following a similar result from the previous year. Mobile ad-tech is growing along with it.