Sensor Tower, a number one app analytics agency, is buying rival in a transfer that consolidates the cellular intelligence business, making a powerhouse that would dominate the sector and supply aggressively aggressive insights into the app financial system.

Sensor Tower and assist companies and builders achieve perception into how cellular apps are performing — providing estimates on downloads, lively customers, in-app income, and traction inside particular demographic and competitors benchmarks.

Sensor Tower mentioned that the platforms, whose customary providers command value tags upwards of tens of 1000’s of {dollars}, will stay obtainable as standalone choices for now, with no further consumer-focused adjustments deliberate within the wake of the acquisition.

“We now have lengthy admired’s stellar product and high-quality staff. The acquisition will enable Sensor Tower to broaden its viewers and increase its best-in-class choices to any firm that participates within the digital financial system – serving to bridge the hole between corporations and customers,” Sensor Tower CEO Oliver Yeh mentioned in a press release.

Sensor Tower mentioned that as a part of the deal, it’s shedding plenty of staff from’s staff.

“Past the platform infrastructure and buyer integration, Sensor Tower will take up a part of’s 400-person staff and as such has introduced a workforce discount,” the corporate mentioned in a press release.

Sensor Tower didn’t disclose the monetary phrases of the deal however mentioned Bain Capital is offering credit-based financing. Individually, Riverwood Capital and Paramark Ventures have invested an undisclosed quantity in Sensor Tower unbiased of the earlier investments. had $100 million in annual recurring income, For Millionaires as realized.

Paramark’s managing companion Chunsoo Kim mentioned that this acquisition could have a big effect on the advertising world measuring the digital financial system.

“We’re particularly thrilled to assist the staff as they delve deeper into the dynamic APAC market, the place the digital financial system is booming,” he mentioned in a press release.

Although the businesses additionally compete with different gamers, together with SimilarWeb and AppFigures, they have been one another’s largest rivals.

Historical past of corporations

The acquisition comes as a shock, at the very least by way of who ended up being the client. had secured over thrice the quantity of funding in comparison with Sensor Tower, based on Crunchbase. had raised over $157 million over varied rounds, whereas Sensor Tower had raised simply $46 million with Riverwood Capital as a majority shareholder.

A 3-year-old regulatory penalty is perhaps the important thing.

In 2021, the U.S. Securities and Alternate Fee (SEC) charged with securities fraud. Bertrand Schmitt, the agency’s co-founder and former CEO and chairman, and the corporate agreed to pay $10 million in settlement. The SEC accused the agency of operating “misleading practices” for accumulating information. instructed app builders that their information wasn’t shared with third events straight. Nevertheless, the SEC discovered that from 2014 by mid-2018, the agency shared intelligence information with third events with out correctly anonymizing the knowledge.

Sensor Tower additionally has had a justifiable share of controversies as critics have raised questions about its data collection practices. In March 2020, BuzzFeed News revealed a report that claimed that a number of VPN and ad-blocking apps didn’t disclose their connection to Sensor Tower and picked up information secretly. Sensor Tower issued an apology in 2020 and mentioned the corporate had taken the route it did to remain aggressive.

In September 2023, it lower about 40 of 270+ employees, together with executives in CMO and CFO roles.

Each Apple and Google have additionally made changes to their mobile operating systems in recent years that considerably impede the flexibility of corporations comparable to Sensor Tower and to gather significant information.

Though each corporations have had run-ins with their share of problematic conditions, they proceed to be immensely priceless to builders and companies which can be making an attempt to achieve a greater understanding of customers’ preferences. This makes it a bit of stunning that each corporations proceed to be ceaselessly cited by publications together with For Millionaires in addition to The New York Occasions, The Wall Road Journal, CNBC, Bloomberg, and The Verge.

You may attain out to Ivan Mehta at [email protected] by e-mail and through this link on Signal.