Twitter Sells Off MoPub Mobile Ad Network for $1.05B

Social media giant Twitter announced this week that it has decided to sell its MoPub mobile advertising network to game developer and ad-tech company AppLoving for $1.05 billion in an all cash transaction.

With the sale of the line, Twitter is on its way to reaching its goal of $7.5 billion in revenue by the end of 2023 says the company.

MoPub was purchased by Twitter back in 2013 for just $350 million.

AppLovin shares jumped more than 8% in extended trading on Wednesday while Twitter shares rose more than 2%.

“This transaction increases our focus and demonstrates confidence in our revenue product roadmap, accelerating our ability to invest in the core products that position Twitter for long-term growth and best serve the public conversation,” Twitter CEO Jack Dorsey stated.

MoPub generated $188 million in revenue for Twitter in 2020, the company. That represents nearly 5.9% of the company’s 2020 advertising revenue and a little more than 5% of its total sales for the year.

The MoPub network is used by 45,000 mobile apps and reaches 1.5 billion addressable users, according to AppLovin’s press release this week. The deal is expected to close in 2022.

Twitter will be providing additional details on the estimated financial impact of the deal when it reports its third-quarter earnings on Oct. 26.

“We are excited by the opportunity to grow the AppLovin platform and further enhance our publisher monetization tools through this strategic transaction,” said AppLovin CEO Adam Foroughi
stated. “We welcome the MoPub team and together we will work diligently to combine the best of MoPub into the AppLovin software platform.”

Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.