Digital media company PadSquad announced on Thursday that it has acquired patented video technology assets from ad monetization software firm Source Digital, for an undisclosed sum.
PadSquad was launched in 2012 to assist publishers in delivering mobile display ads, and soon after launch, it also established an internal creative agency for brands. The acquired assets, which includes content recognition tech, a video ad builder, and an ad server, are expected to enable the company to expand its video offering to serve large-format interactive ads within a publisher’s video content.
With its new ad experience, PadSquad aims to enter CTV, where it hasn’t had much presence until now.
“We now have patented technology that will allow us to enter the digital video instream advertising market with a solution not available anywhere else,” said Daniel Meehan, founder and CEO of PadSquad. “The biggest winners here will be our advertising partners. Our decade plus of experience has taught us that interactive ad formats drive business outcomes. With the unrivaled engagement of our rich media offerings, it’s about time we bring our creative best practices to instream video. We’re confident brands can achieve far greater performance through remarkable instream creative that utilizes interactive components.”
The acquisition news comes less than a year after PadSquad received significant investment from Star Mountain Capital to accelerate organic growth and continue acquisitions.
“These new tech capabilities bolster our creative toolkit as we reimagine instream advertising experiences for our advertising partners,” said Jennifer Klimek-Gavin, SVP of creative and innovation at PadSquad. “We can now offer the agility, customization and interactivity that has escaped brands looking to market their products using video.”