An Ad Tech Company Has Quietly Shut Down After Facing Allegations Of Unpaid Bills
Eric Hochberger, CEO and co-founder of Mediavine, which takes care of programmatic marketing for small media companies, claimed that Pocketmath distinguished itself with reduced spend needs and charges. However, he claimed the firm lagged on repayments to supply-side companies because of September and unresponsive to them.
Pocketmath raised $20 million from investors consisting of Rakuten as well as InnoVen Capital. LinkedIn information shows that the company had 21 workers.
The firm deals with two lawsuits affirming it owes money to adtech business that authors use to offer ads.
Adtech company Smaato filed a civil grievance in California’s Santa Clara County Superior Court in November declaring that it’s owed $264,577. A 2nd civil grievance filed by health care adtech company Pulsepoint in October in California’s San Mateo County Superior Court affirms that it’s owed $155,532.
Pocketmath co-founder and also exec chairman Eric Tucker confirmed the firm was discontinuing procedures after attempting to market. He decreased to say what occurred to the business and again what will happen to its clients.
Hochberger said one supply-side company told him that Pocketmath plans to request “clawbacks,” where adtech business asks publishers to return cash that they’ve already been paid.
Agents and legal representatives for Smaato and Pulsepoint either decreased to comment or did not reply to requests for comment. Tucker declined to talk about the claims.
The 10-year-old company sold modern technology that advertisers to buy mobile ads programmatically and takes on more prominent firms like The Trade Desk, Google, MediaMath, Xandr, and Zeta Global.
Hochberger contrasted the Pocketmath situation to Sizmek, which owed millions to adtech companies like Index Exchange, PubMatic, OpenX, and AppNexus at the time of its collapse.
“Our group has worked hard. This is not the failing of a team; they’re great individuals, and they’ve attempted their finest,” he claimed.
Adtech businesses typically have such agreements in position via conditions in agreements called sequential obligation.
It’s unclear if debt consolidation contributed to Pocketmath’s difficulties. However, it’s grown significantly harder for small adtech business to compete with titans like The Trade Desk and Google that control the programmatic ad service. Adtech companies with technology similar to Pocketmath, including IgnitionOne and Sizmek, have been cost components recently.
Pocketmath, a small adtech company with offices in Singapore and also San Francisco, has shut down after encountering claims of accounts payable and even unsuccessful attempts to offer.
A supply-side advertisement tech business, OpenX, said that they cut off Pocketmath’s accessibility to its ad supply in March 2020 when OpenX started having issues earning money.