Smart TV set maker LG Electronics has acquired a controlling stake in data and analytics company Alphonso for $80 million.
LG said it plans to create an ad platform for its TV using Alphonso software and services, including linear and over-the-top analytics, ad targeting, media planning and artificial intelligence capabilities.
Alphonso will continue to operate as an independent business under its current brand and leadership based in Silicon Valley.
“Our investment in Alphonso is a key component of our digital transformation strategy focusing on AI, big data and cloud to fundamentally change how consumers interact with their devices,” said Park Hyoung-sei, president of the LG Home Entertainment Co. “With Alphonso’s TV data analysis capabilities, LG will be able to provide even more customized services and content to consumers and we are proud to welcome Alphonso to the LG family.”
Alphonso said it last raised money in 2017, which it got $5.6 million in funding led by Manifest Investment Partners.
“LG and Alphonso have a shared vision for advancing the smart TV ecosystem through innovative software and services oriented toward modern new consumer experiences on one end, and highly flexible, lucrative advertising, planning, and measurement offerings for brands, agencies, and broadcasters on the other,” said Ashish Chordia, founder and CEO of Alphonso. “Becoming part of LG Electronics gives Alphonso the backing of one of the world’s leaders in home entertainment products, with access to a massive global inventory of connected TV screens. We can now maximize our mutual impact on the TV marketplace as we bring our products together and deliver immense value for the ecosystem.”
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Jon has been business editor of Broadcasting+Cable since 2010. He focuses on revenue-generating activities, including advertising and distribution, as well as executive intrigue and merger and acquisition activity. Just about any story is fair game, if a dollar sign can make its way into the article. Before B+C, Jon covered the industry for TVWeek, Cable World, Electronic Media, Advertising Age and The New York Post. A native New Yorker, Jon is hiding in plain sight in the suburbs of Chicago.