Ad tech company GumGum raises $75 million in funding

Recently, GumGum, a global technology and media company, announced that it has received a $75 million investment from Goldman Sachs Growth to accelerate the growth of its contextual advertising products.

Founded in 2008 and headquartered in Santa Monica, California, GumGum develops solutions using natural language processing and computer vision to help marketers place ads across display, native and digital video channels, including OTT TV.

The company currently works with more than 100 major brands and 1,200 leading publishers around the world .

Founded in 1869, The Goldman Sachs Group Inc. is a leading global investment banking, securities and investment management firm. Goldman Sachs Growth is the firm's investment platform with more than 25 years of investment history, more than $8 billion in assets under management, and nine offices around the world.

GumGum has raised a total of $122 million and is currently valued at nearly $700 million, roughly triple its value two years ago, according to The Wall Street Journal .

A spokesperson said the new investment, GumGum’s largest to date, will be used to more broadly offer its proprietary contextual API and context-enabled display , native and video ( OTT & Web) products , and will expand and accelerate its investment in key international markets.  

Interest in contextual targeting continues to grow as marketers look for alternatives to third-party cookies . The constant changes in mainstream ad targeting tools, coupled with the pandemic ’s broader shift in media investment to digital channels such as OTT and connected TV, are driving more marketers to adopt solutions like the one provided by GumGum.

“ Cookies are being phased out and consumer privacy regulations are becoming more stringent ,” Allison Berardo, vice president of growth at Goldman Sachs, said in a press release. “ We believe GumGum is well positioned to benefit from this market shift as its contextual technology offers brands an alternative. ”

“ Goldman Sachs ’ investment further validates the value of GumGum’s contextual technology and expertise,” said Phil Schraeder, CEO of GumGum . “GumGum has not only perfected its contextual technology, but also executed it creatively to enhance performance.”

GumGum

Goldman Sachs

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