Yahoo and Taboola enter into a 30-year exclusive commercial agreement

The partnership is expected to generate around $US1 billion in revenue

Through this unique partnership, Taboola will benefit from Yahoo’s scale as a leading consumer tech company reaching nearly 900 million monthly active users worldwide as a top-ranked internet property across mail, sports, finance and news.

By powering Yahoo’s native advertising solutions, Taboola will help deliver greater reach, better campaign performance and improved user experiences, supporting brands as they continue to look for alternative advertising options outside of walled gardens.

Taboola will continue to invest heavily in R&D, enhancing how people discover things they may like, and strengthen its leadership in contextual advertising. As part of the partnership, Yahoo will receive just under 25 percent of the pro forma equity of Taboola.

The partnership will allow Yahoo to further enhance its own unified advertiser offerings, enhance consumer experiences across Yahoo’s owned media properties, and participate in significant shared value creation as Taboola’s largest single shareholder.

Yahoo and Taboola partnership - Adam Singolda

Adam Singolda

Adam Singolda, founder and CEO of Taboola, said: “Yahoo is an internet pioneer, representing one of the largest, most trusted and most sophisticated publishers in the world.”

“Everywhere I look, I see a rocket ship growth opportunity for both of us – native, ecommerce, video, header bidding (display) and more. This win-win partnership will meaningfully accelerate our growth flywheel, expanding our reach to more users on the open web with high-intent traffic to provide world-class solutions for advertisers, publishers, merchants and users in a cookie-less world.

“For publishers in the open web, we’ll be able to invest even more in driving revenue, engagement and audience growth moving forward, empowering performance, brand advertisers, merchants as well as agencies with an immense reach to users in a premium, trusted environment. This partnership is a big step toward achieving our goal of generating $US1 billion in ex-TAC by 2025,” Singolda added.

Jim Lanzone, CEO of Yahoo, said: “Partnering with Taboola enables Yahoo to further enhance the contextual and native offerings within our unified advertising stack.”

“The partnership also allows Yahoo and Taboola to continue to differentiate in market, improving user, advertiser and publisher experiences across properties, while benefiting from the long-term tailwinds in digital native advertising.

“Together with Taboola, we will maximize reach and campaign performance for advertisers, enhance monetisation opportunities for publishers, and drive improved, privacy-forward experiences for users. As we continue to build the next era of Yahoo, we are thrilled to have strong partners by our side,” Lanzone added.

Yahoo is owned by funds managed by affiliates of Apollo. With long-term support from Apollo, alignment with shareholders and commitment to support the advertiser platforms of both companies, the partnership will accelerate both Taboola and Yahoo’s growth plans in an attractive sector of the market.

The agreement represents a strong belief by Apollo in Taboola’s go-forward strategy and future as a leading offering for advertisers, publishers and merchants on the open web.

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