Adobe buys TubeMogul for $540 million, expands its video marketing efforts

Adobe makes a play for a big video advertising market across multiple screens with the purchase of TubeMogul.
Written by Larry Dignan, Contributor

Adobe said it will acquire TubeMogul, a video advertising company, in a deal valued at $540 million.

The deal will give Adobe a larger footprint in video programmatic advertising on multiple screens and allow it to combine it with its marketing, content, and analytics services.

TubeMogul shareholder will get $14 in cash for each share owned. The deal is expected to close in Adobe's fiscal fist quarter and be neutral to non-GAAP earnings.

For Adobe, the play is to combine its Marketing Cloud with TubeMogul and cover multiple video formats. Video is increasingly seen as the primary marketing vehicle for many brands. The two companies have multiple joint customers.

Here's where TubeMogul sits in the foodchain and the problem it is trying to solve.


Adobe has recently started to cross-sell and integrate its services. TubeMogul fits in with that plan. Adobe can use TubeMogul for marketing as well as its Audience Manager and Analytics clouds.

TubeMogul CEO Brett Wilson will continue to lead his team under Adobe's digital marketing unit.

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