Verizon, the new player in the mobile advertising – ElEspectador.com

Verizon Communications Inc. AOL Inc. agreed to buy a worth US $ 4.4 billion will intensify the battle of the mobile advertising business

. Verizon, the largest wireless carrier in the US, AOL get two technologies: the mobile streaming, with live television transmission, original programming and pay-per-view service and its ability to distribute mobile advertisements .

As the world plunges enthusiastically into the mobile world, this acquisition provides Verizon new revenue at a time which is of increasing competition from companies like T-Mobile, and while the company faces against two of the heavyweights, Google and Facebook network.

The mobile operator keeps AOL just before introducing its own mobile service streaming video, which could reach the market next month. Verizon will pay $ 50 for each share of AOL, 17% above Monday’s price of shares in the company. Tim Armostrong, CEO of AOL, will continue to lead the operations of the company, according to a statement yesterday by both companies, which also claimed that the transaction will be completed towards the end of summer.

AOL is a very different company from which it was 15 years ago when the Internet portal merged with Time Warner. He was one of the largest businesses in the world at the time and became one of the most resounding failures. Two years after closing the deal, the value of the company resulting from this combination had fallen by almost two thirds and the merger ultimately ended six years ago with a series of derivatives. Under the leadership of Armstrong, AOL has acquired sites such as the Huffington Post and TechCrunch, while expanding its content for mobile platforms.

The goal is to become an automated intermediary between advertisers and content producers. Last month, AOL introduced ONE, a tool that helps traders to decide which place is better to spend your advertising budget. This technology allows advertisers to evaluate whether consumers are buying more products after seeing an ad in a smartphone and allows them to modify their scheme expenses, desktop devices and television to mobile platforms.

AOL said yesterday that the combination with Verizon “leads to the scale of Facebook and Google.” This may not happen yet, but AOL transforms into a much more powerful rival.