Ad Network Jellycloud Bites The Dust

There are an estmated 400 ad networks. Now there’s one less. Eight-year-old Jellycloud, known as Gator or Claria in earlier incarnations, has shut down. Valleywag heard word repo men showed up over the weekend and hauled away the furniture. About $50 million in funding from US Venture Partners, SoftBank, Sand Hill Capital and Crosslink Capital — and about 36 jobs — are gone.

Plenty more of these obits to come: There are way too many ad networks, and many networks more often than not lower value for sites with annoying, poorly targeted ads. A soft advertising market is making the underlying problems all the worse, and even mega-players like AOL’s (TWX) Platform A are in trouble. Get used to the image to the right.

See also:
AOL: Now Our Ad Network Business Is Seizing Up, Too
ENOUGH ALREADY: People, Please STOP LAUNCHING AD NETWORKS
Ad Networks Are For Losers
Ad Networks Still Hurting; Rates Down And Staying There

NOW WATCH: Tech Insider videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.

Tagged In

ad networks sai-us