The video marketing world is getting a little smaller today as the well-known video advertising technology company Videology declares bankruptcy. In a statement, the company announced that it will seek Chapter 11 bankruptcy protection.
Videology has accepted a conditional asset purchase agreement from Amobee, a rival marketing technology company. The deal isn’t complete, and any interested parties will have the chance to submit a bid for Videology’s assets. Videology’s board of directors accepted the sale unanimously. The closing is subject to court approval. Amobee is owned by Singtel, a Singapore telecom, which acquired it in 2012.
Videology’s CEO and founder Scott Ferber is well-known on the marketing conference circuit. He stressed that this is not the end for his company, but the best way ahead at this time:
“We are confident that today’s transaction represents the best path forward for Videology and is in the best interests of all our stakeholders,” Ferber said. “Most importantly, we anticipate it being seamless for our valued clients and partners, while providing Videology the financial stability and strategic position to drive future growth.
“Over the past decade Videology has successfully established ourselves as a leading provider of the software for the convergence of TV and video and have built a client list comprised of some of the biggest names on both demand and supply-side of the market. However, the industry is only in the early-stages of the TV and video advertising transformation that we were built to power, and it will take resources, capital, and time to help transform a market as large as TV. The bottom line is that these moves put us in the best possible position to achieve our ambitious goals, and we remain dedicated to our mission of driving outstanding advertising results for our customers during this process—without interruption.”
In October 2017, Videology launched DETVgo, a self-service option for agencies and brands to get started with data-enabled TV advertising. The connected TV space is hot, but if a well-funded startup like Videology declares bankruptcy many will wonder if smaller companies can compete against Google and Facebook.