Yahoo has bought Sparq, a Seattle-based startup company with focus on mobile marketing.
The purchase was announced on the Sparq website by founder and CEO Jesse Chor. "We can't thank our customers, investors, advisors, friends, and family enough for all of their support over the years," Chor said in a statement. "We are uber passionate about mobile -- we've been striving to build the best mobile platform possible, and are excited to continue upon that goal with Yahoo. Words cannot describe how ecstatic we are to be joining such an amazing team with such an inspiring mission. We see endless opportunity ahead."
Sparq is also Yahoo's second acquisition this year but what prompted Yahoo to close the deal? It appears that Yahoo needs Sparq's technology to monetize its mobile user base. The startup company describes its platform as something that can convert "mobile users into customers by making it easier to buy, share and consume products, services and content wherever the user is", a technology mobile marketers apparently want.
Yahoo is aware of the growing importance of mobile users and, it seems, it will tap into Sparq's platform to help its own users move seamlessly between its products. It may also help increase user engagement, and consequently revenue per user.
The acquisition is also likely a move to bolster Yahoo's roster of talents and technology. Chor said that Sparq will be terminating its current service but gave hints of working at Yahoo. "We will be terminating our current service, and are reaching out to existing customers with support details," said Chor, who was a developer for Expedia, prior to founding Sparq in 2010. "On behalf of the entire SPARQ team, thanks again for all for your support and we hope to work with you again soon at Yahoo."
The financial details of the acquisition were not disclosed but given that Sparq has raised only $1.7 million from investors, the purchase isn't likely expensive.
