Israeli company ironSource, which offers a platform for distributing apps and makes it possible to connect users with the apps relevant to them, is still on the hunt for acquisitions. This time it is the turn of StreamRail, also an Israeli company, but a young one still unused to the limelight.
StreamRail has developed technology that makes it possible to watch video clips in a faster manner. The acquired company also offers a special video player for advertisers that enables them to provide and generate profits from video clips that have been viewed on any device, anywhere in the world.
The deal, which was first reported on Wednesday but has not yet been officially confirmed by either ironSource or StreamRail, reputedly carries a price tag in the tens of millions of dollars. It appears that the acquired startup, which was founded only in 2014, completed its first (A) financing round a year ago, raising an undisclosed sum from Sequoia Capital.
One out of every three installs worldwide is through ironSource
StreamRail, which has offices in Tel Aviv and California, has four founders: CTO Or Hiltch, CEO Guy Zipori, Executive Chairman Amir Leitersdorf, and Chief Revenue Officer Iri Amirav. The company says that the technology behind the video player it developed performs much better than existing players (it is 27 times as fast off the mark), and is also currently believed to be the only solution in the market that makes it possible to operate HD quality clips automatically even when surfing on a mobile device. Ultimately, the product is destined to be integrated with ironSource’s capabilities, and to serve as a complementary product that will enable advertising professionals to display marketing content on mobile devices more smoothly.
ironSource is regarded as one of the most outstanding representatives of the Israeli Download Valley. The company operates an app distribution engine (installer) named installCore. In addition to installing specific software, installCore also recommends additional software for installing according to the personal characteristics of each web surfer and the software they have installed, similar to the recommendations we are familiar with from e-commerce websites.
For each installation of software using ironSource’s installer, the company receives payment from the developers of the installed software. installCore, the company’s flagship product, is responsible by itself for more than seven million installs daily; ironSource claims that one out of every three installs worldwide is done through the company. ironSource recently switched its focus from desktop to mobile installations, with products such as mobileCore.
Just under a year ago, ironSource completed a stunning acquisition deal in which it acquired Israeli adtech startup Supersonic for $200 million. Supersonic’s advertising network enables users to win virtual remuneration (coins, the opening of advanced stages, or receiving virtual items) when they are exposed to a brand through advertising clips or a whole set of other ways installed within the game. When the users win virtual features, the advertisers win considerable exposure time and an interaction that contributes to promoting their brand.