Adobe Acquires Auditude to Capitalize on Exploding Video Advertising Opportunity
Auditude Platform Empowers Publishers and Media Companies to Maximize Value of Video Content
SAN JOSE, Calif. — Nov. 1, 2011 — Adobe Systems Incorporated (Nasdaq:ADBE) today announced that it has acquired privately held Auditude Inc., a leader in video ad management and monetization technologies for premium publishers and media companies. Through the acquisition of Auditude, Adobe® is now uniquely positioned to provide an end-to-end video offering, seamlessly connecting authoring, publishing, monetization and optimization with the goal of helping customers build long-term businesses through the delivery of quality video content and superior viewing experience across all IP-enabled devices.
“Premium video publishers want to capitalize on the foundational shift to digital by providing viewers with great media experiences and maximizing the value of their content on every IP device,” said David Wadhwani, senior vice president and general manager, Digital Media Business Unit, Adobe. “With this acquisition, Adobe can now offer an unparalleled platform for authoring, distributing, analyzing and monetizing digital video experiences everywhere – simplifying workflows, increasing consumer engagement, delivering insights and driving increased revenue for content publishers.”
Supporting video ad management and monetization delivered via an open architecture platform, Auditude lets premium publishers and media companies efficiently create a high-quality, TV-like, multi-device advertising experience that is an essential component to viewer loyalty and attracting major brand advertisers. Industry-leading features of the Auditude platform include: easy integration into content management and other video operations systems; outstanding targeting capabilities; flexible ad placement and ad product offerings; intuitive sales rights management; access to and control of incremental advertising demand; and efficient cross-device workflow.
“By joining Adobe we are accelerating our vision of helping top media companies and publishers maximize the value of their video content,” said Jeremy Helfand, chief executive officer, Auditude. “Adobe has deep roots in video and bringing our capabilities together will provide great incremental benefits for our customers. As part of Adobe we are excited to bring publishers and media companies a platform offering that has never been possible before, driving unprecedented monetization opportunities for them.”
Auditude’s advertising server platform meshes neatly with Adobe’s video technologies, such as Adobe Flash® Media Server 4.5 software and Adobe Pass. The Flash Media Server family of products delivers media to multiple platforms – including Flash, HTML and native apps – with a choice of powerful protocols that can save significant bandwidth costs and lighten network load. In addition, Adobe Pass, the industry leading TV Everywhere Platform, is enabling premium content publishers to securely bring large catalogues of programming online. The combination of Adobe Flash Media Server, Adobe Pass and Auditude creates the most comprehensive solution for the world’s leading content publishers, broadcasters and brands to encode video once, securely deliver their content across platforms on-demand and efficiently monetize it.
Adobe also plans to integrate Auditude with the Adobe Digital Marketing Suite, which consists of integrated analytics and optimization products to collect and unleash the power of customer insight. For example, using the Suite, customers can identify the most effective marketing and content delivery strategies and ad placements as well as create relevant, personalized and consistent customer experiences across channels, such as onsite, video, display, email, social and mobile. The Suite enables Adobe customers to better maximize marketing ROI and advertising yield, which ultimately can positively impact the bottom line.
What does Auditude do?
Auditude helps maximize the value of video content through advanced ad technology and monetization services so content owners and distributors can effectively monetize their content wherever users choose to view it. Auditude’s flagship product is the Connect platform, an ad serving and decisioning technology targeted at premium video content owners and distributors that enables the insertion, trafficking, delivery, rights management, and analysis of online video ads.
Why has Adobe acquired Auditude?
As a leader in the authoring, distribution, and measurement of digital consumer experiences, Adobe is uniquely positioned to provide an integrated solution for content owners by seamlessly connecting video authoring, publishing, monetization and measurement.
The acquisition of Auditude provides a key component to the integrated Adobe solution – a best-in-class ad serving platform for publishers looking to monetize their content with marketing messages appropriate for their audiences. When you combine the Auditude ad serving platform with Adobe’s strength in authoring, publishing and measurement, the result is an unparalleled platform for publishers to create, publish, monetize and optimize their audiences across devices.
Who are Auditude’s customers?
Auditude provides a wide range of media companies the opportunity to monetize their video content across all IP connected devices. Examples include Comcast, Major League Baseball, Channel5, Dailymotion, FoxNews, Starz, News Distribution Network, Lionsgate, and Major League Gaming.
What opportunity is the combined company addressing in the market?
The opportunity is to create an integrated solution that seamlessly connects authoring, publishing, monetization and measurement for premium video delivered over IP. This is great for Adobe’s customers (premium video publishers, including broadcast and cable networks, distributors, and aggregators) as it enables them to increase revenue by maximizing the value of their content and also enabling them to offer their audiences a superior experience. Video audiences benefit from better user experience and more premium video content being available online as online content value increases.
Today, content delivery, ad management and analytics for video content and ads are separate workflows. This creates technical challenges for coordinating a great consumer experience and business challenges for maximizing revenue. First, inserting mid-roll ads, the most valuable ad type, is so complicated that publishers either create custom, un-scalable implementations or reduce their
overall revenue potential by relying solely on less valuable, easier-to-implement pre and post roll ads. With premium publishers able to command upwards of $30 CPM on mid-roll inventory, this is significant money that is being left on the table.
How will this acquisition benefit Auditude Customers?
Auditude’s customers will immediately start to benefit from the doubling of resources being applied to the Auditude solution across engineering and support services. This will allow the team to build out and better support existing customers with this best in class ad serving platform. On top of this these customers will now be some of the first to benefit from the vision of the combined solution helping media and publishing customers better satisfy their audiences as well as maximizing monetization opportunities through advertising.
How is this different from other Adobe solutions like SiteCatalyst and Test&Target?
This solution will integrate tightly with SiteCatalyst and Test&Target. In the future, customers will be able to increase ad yield by using data via SiteCatalyst or Test&Target to make the best ad decision.
Is Adobe committed to the Auditude product lines?
Adobe is very committed to Auditude product lines and will continue to invest both in core ad management as well as creating an end-to-end solution integrating ad serving with media delivery and analytics. Customers will still be able to buy the Auditude platform on a stand-alone basis, and will have the opportunity to benefit from the incremental features that are added as integration plans take shape throughout 2012.
Will current Auditude customer contracts continue to be honored?
It is business as usual and customer contracts will be honored as they were before the close of this acquisition.
Who should I contact if I have further questions about this acquisition?
You should contact either your current Adobe or Auditude account rep. If you aren’t clear on who to contact then please email firstname.lastname@example.org