Sensor Tower shocks industry with Data.ai acquisition (here’s what it means for marketers)

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Sensor Tower has purchased Data.ai for an undisclosed amount. The announcement was made in an interesting video posted to Sensor Tower’s LinkedIn page. It is looking like approximately half of Data.ai’s staff was laid off immediately following the acquisition (some insiders have reported a reduction of nearly 60%).

Strategically, the move makes sense, as it consolidates the two largest players in the app intelligence agency arena – creating a larger data set and strengthening their go-to-market (GTM) position. This is also good for Apptopia, as it leaves them as the only real alternative in the space to Sensor Tower (who is marching toward a near-monopoly). However, this acquisition may provide an opening for new competitors to emerge.

The acquisition is less good for Sensor Tower and Data.ai clients, though, as they will likely see prices go up.

The purchase was sudden and unexpected as it was largely believed that Sensor Tower was the smaller company. Data.ai customers reported receiving a curt and unexpected email announcing the acquisition and transition in leadership.

The involvement of private equity firms, including Bain Capital, Riverwood Capital, and Paramark Ventures, has fueled hedge fund conspiracy theories regarding the deal.

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