Limelight Buys Company That Targets Ads To Gadgets

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Content delivery network Limelight Networks (LLNW) has acquired Kiptronic, a small software company that targets ads to non-computer devices, including mobile phones, video game consoles, and other gadgets.

The idea is that as people increasingly access the Web from non-computer devices, serving up device-specific ads will be a little more complicated. Kiptronic’s code basically plugs into your DoubleClick or Atlas dashboard and then picks the right ads for the device that your Web site is being accessed from. As in, it won’t serve up Flash to an iPhone, or it won’t serve up a video ad to an old Nokia phone, etc.

Kiptronic already has an impressive set of clients, including NPR, Fox, NBC, and The Economist. Limelight plans to offer its services to anyone, even customers that use rival CDNs.

CDN industry watcher Dan Rayburn pegs the cash and stock deal at $12 million. We hear that’s a little high — that the deal is sub-$10 million.

As bandwidth becomes more commoditized, CDNs like Limelight and Akamai have been acquiring companies to broaden their product suites. Advertising is a popular direction to head toward. Last year, Akamai acquired ad tech firm Acerno for $95 million.

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