Mobile app marketing platform AppLovin has announced an agreement to acquire Adjust, a Berlin-based mobile app attribution provider that operates globally. Terms of the deal weren’t disclosed, though Bloomberg is reporting it’s for $1 billion.
AppLovin offers three main solutions for mobile apps — AppDiscover, a marketing platform to find more users, MAX, a monetization tool and Spark, an in-house creative studio for mobile ad design and development. On top of its marketing tools, the company is also a game publisher, with a portfolio of casual games largely built through acquisitions (the company acquired Machine Zone last year).
By offering marketing tools and its own games, AppLovin has access to demand and supply intelligence that it can apply to both sides of the house. According to the company’s website, they reach over 1.5 billion mobile devices per month (marketing) and have over 420 million daily active users (gaming).
In acquiring Adjust, the company is growing its suite of products in a bid to be more of a one-stop mobile marketing shop. Adjust gives them a well-regarded attribution and analytics offering that’s already in use by more than 50,000 apps like SoundCloud, Rakuten and Tencent. Adjust’s HQ is in Berlin, though it has a global presence, with 16 offices and 500-plus employees.
“Our ambition always was to be the world’s first comprehensive, all-in-one solution for app marketers,” said Paul Müller, Adjust Co-Founder and CTO. “By coming together with AppLovin, we can realize our vision and create a brand new product suite that will accelerate every app marketer’s growth.”
Adam Foroughi, AppLovin Co-Founder and CEO, added: “We have worked closely with the Adjust team for years and we’re thrilled to have the opportunity to team up with them. Adjust’s product-first approach to the attribution and analytics space is comparable to how we built AppLovin, and exceptional combinations are born from similar objectives and culture. Together, we believe we will propel marketing tools innovation forward for mobile app developers globally.”
The deal press release touts the fact that the two companies will continue to operate independently. Per the second line of the first graph, “Adjust will retain its unique brand and culture and continue to operate as a distinct company.” These reassurances might be necessary to stave off potential criticism as AppLovin, a marketing and monetization platform, now owns a key attribution provider. More than ever, marketers want third-party, independent measurement.
The deal also comes ahead of Apple’s ATT update, making measurement and attribution even more necessary for mobile marketers. Wayne Blodwell, Founder & CEO of The Programmatic Advisory, tweeted about the deal, saying, “AppLovin is a beast. Interesting timing given existential challenges of measuring app based advertising. Looking forward to seeing this play out.”
AppLovin, which is backed by KKR, has acquired six companies since 2014, with several of those deals being quite large (Machine Zone for $500 million, Adjust for $1 billion, etc.). The company is valued at $2 billion and is reportedly planning for an IPO.
