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Verizon's AOL Acquisition and What It Means for Advertisers

The thinking behind Verizon's $4.4 billion purchase

On May 12, 2015, Verizon acquired AOL for $4.4 billion. But, what was the motivation behind this acquisition? And how will it impact today’s advertisers?

It ultimately comes down to access. Access to data, access to video platforms, and access to consumer segments. AOL has acquired several video and marketing companies, building an ad stack that reaches 1.5 billion connected devices every day. That much data allows Verizon to identify and learn about new consumer segments, and enable a highly personalized experience delivery to those consumers. On top of that, they can use the video platforms to drive tailored content to individuals for meaningful, measurable experiences.

This makes them a highly desired advertising platform – sort of a new challenger to the Facebook Atlas model. Every advertiser ultimately wants to be able to hit the three Cs – context, content, and connectivity. Verizon can now help advertisers finely tune their audience and deliver the ideal message. This ability to drive relevant, targeted consumer engagement will allow Verizon to charge premium to advertisers, likely justifying the price tag.

Learn more about the acquisition and what it means for marketers in the video blog above.