Nexage closes US$10 million investment, led by SingTel Innov8
The Series B financing will serve to extend Nexage’s leadership in mobile advertising and mobile real-time bidding
BOSTON – June 6, 2012 – Nexage, the leading mobile advertising exchange with the market’s most advanced real-time bidding (RTB) platform, today announced it closed a US$10 million Series B financing led by SingTel Innov8, the corporate venture capital arm of the SingTel Group. Existing investors Relay Ventures and GrandBanks Capital also participated in this round of financing. Nexage plans to use the funding to expand its products and technology, global reach, and ecosystem of buyers and sellers to accelerate liquidity in the mobile advertising industry.
Key to the investment is the dramatic growth of mobile advertising and the vital role RTB has in fueling that growth. According to the IAB, mobile advertising spend grew 149% in 2011 and, according to Gartner, worldwide mobile advertising revenue will reach US$20 billion by 2015. The industry’s rapid scaling and maturity is being driven by the emergence of RTB, which has become the strategic technology foundation of the mobile advertising industry. RTB creates unparalleled market efficiency and liquidity—a key value realized across all of digital advertising.
Mobile RTB is unique, as it provides real-time discovery and targeting capabilities that are central to creating both advertiser value in driving campaign ROI, and publisher value in maximizing the value of their inventory while protecting their brands and channels. As the strategic technology foundation of mobile advertising, RTB is expected to mirror share of market in online; IDC predicts that RTB will support 27% of ad spend by 2015.
Nexage is leading RTB’s charge; Nexage’s RTB exchange grew in bid volume by more than 70% per month in 2011. On top of its RTB leadership, Nexage continues to expand its technology, customer base, and capability to further drive liquidity. Nexage recently released the Nexage Ad Server 2.0, added publishers including Dictionary.com and ZeptoLab (developer of Cut the Rope), and added buyers such as MediaMath and Drawbridge.
“The mobile revolution has reshaped how consumers work, learn, play, and live – fueling the remarkable growth of mobile advertising,” said Ernie Cormier, CEO and president of Nexage. “RTB is critical to the market’s ability to meet this extraordinary opportunity, providing the requisite efficiency and liquidity and the unique real-time discovery and targeting capabilities that are essential to advertisers. With this financing in place, we will extend our RTB leadership and help drive the growth and maturity of the mobile advertising market.”
"We are excited about investing in Nexage and helping them to continue to lead and accelerate the mobile advertising industry,” said Punit Chiniwalla, Director of Investments for SingTel Innov8. “Mobile advertising has quickly shifted from an experimental market to being an integral part of the advertisers’ ability to reach and compel consumers. Nexage is well-positioned to be one of the winners in this rapidly growing market.” With this round of funding, Punit Chiniwalla will join Nexage’s board of directors.
“We have had the pleasure of being part of the Nexage story from the start, and we are very excited to be part of this round of financing,” said John Albright, Co-Founder and Managing Partner of Relay Ventures. “Nexage has not only demonstrated technology leadership, but also the ability to execute in the market, converting technology leadership to consistently strong results and satisfied customers.”About NEXAGE, Inc.
Nexage is the leading premium mobile advertising exchange, connecting over 300 publishers and developers with over 200 demand sources to create the most efficient, liquid, and vibrant programmatic market in mobile advertising today. The Nexage Exchange is the most advanced technology platform in mobile advertising, giving our customers the most intelligent and flexible exchange in the market to allow them to seize on the extraordinary value of programmatic. Nexage Connect leverages that technology, integrating and delivering first- and third-party data to provide rich and precise targeting for buyers, and to enhance the value of our publishers’ audience. Nexage serves customers on a worldwide basis with offices in Boston, New York, and San Francisco. Come visit us at www.nexage.com or follow us on Twitter @Nexage.
TinyTube operates a network of leading mobile web video destinations, reformatting online video content for mobile devices. It boasts over 100M minutes of video streamed and 38M+ monthly impressions. Although TinyTube had an enviable 95% fill rate, it needed to drive more advertising revenue from its mobile properties.
TinyTube selected Nexage to optimize its inventory while maintaining a high fill rate. The Nexage Exchange works to increase mobile advertising revenue in two ways: acting as a single integration point for 150+ ad sources and leveraging the highest yielding ad source to fill a site’s ad request, increasing both inventory CPM and fill rate. In addition, by partnering with Nexage, TinyTube gained access to a single reporting dashboard with in-depth reports on revenue, eCPM, fill rate, and click rate.