Paul Palmieri, president and chief executive at Millennial Media
cited several strategic and complementary benefits from the combination by highlighting Jumptap's strengths.
"Where Millennial is known as the leader in mobile brand advertising, Jumptap has more of a focus on the performance advertising side of the business," he says on the company's earnings call following the announcement.
"Jumptap is the leader in mobile real-time bidding, or RTB, capabilities, reporting that they are seeing over two billion impressions per day to deliver app, download, and other performance campaigns. We're excited and look forward to adding Jumptap's performance advertising and programmatic capabilities to the mix at Millennial Media," Palmieri adds.
Overall, the acquisition price reflects more than four times Jumptap's $53 million in advertising revenue last year, which falls in line for the average revenue multiple that mobile firms command at the time of acquisition over the last decade.