Adbrite stops service

Adbrite shut down

Adbrite is a err… WAS a well known ad exchange agency in internet arena, serving thousands of websites to earn money through displaying various types of ads including banner ads, text links etc.

It had a working principle similar to google’s adsense program. But it gave more percentage of ad revenue share to its webmasters. In Technoloot, I used this service to serve ads. Some days ago, I got a a devastating email from Adbrite founders stating that it is going to shut down its services from 1st February 2013.

http://www.youtube.com/watch?v=XdzwB6OESdU

Why does this happened? In my opinion, it is only due to loss of market share caused by downfall in number of unique visitors. Many webmasters use Adbrite as a service just to fill up vaccant spaces in their site, which are not filled by Google adsense. But it takes some time and has certain criteria to get approved with Google ads. For the time being, webmasters use alternative sources like adbrite, bidvertiser, clicksor, chitika etc. As they get approved by Google Adsense, they simply discard these low paying services. Moreover, companies also wish to give ads to better converting players like Google. Downfall of Adbrite clearly shows the importance of theory- Survival of the fittest. Adbrite failed to implement new and innovative technologies in the field to get better projects or better client base, which made them leave the field empty handed.

Ad exchange adBrite told partners today that it will be shutting down on Feb. 1.
A couple of TechCrunch readers sent us copies of the emails that went out to adBrite publishers and advertisers. Here’s the advertiser version:

“Dear adBrite Advertiser,
Over the last few weeks, adBrite and its management have been evaluating the go-forward plan for the business. Given market conditions and certain financial liabilities, in working with our lenders, we have decided to cease operations on Feb 1, 2013.
This is a difficult decision for all of us at adBrite. However, after much deliberation this seems to be the best course of action despite the impact it will have on all the employees, clients and partners who helped build this business. There will be a team in place as needed to assist with winding down your campaign, and final reporting and invoicing.
Thank you for being part of the adBrite community.
The adBrite Team”

In an interview with AllThingsD, CEO Hardeep Bindra said he joined last year with the goal of selling the company, and was making progress on talks before they fell through “a couple weeks ago.” AdBrite currently has 26 employees.

The company was founded in 2002 as an ad network, and became an ad exchange in 2008. It raised more than $40 million in funding from Sequoia Capital and others. (Shortly after Sequoia’s infamous “RIP Good Times” presentation.) Co-founder Philip Kaplan has been involved in several startups since then

http://www.youtube.com/watch?v=1DHXmYua9Ec

source:

http://technoloot.com/adbrite-stops-service-from-1-feb-2013adbrite-shut-down-and-impacts-on-webmasters/

http://techcrunch.com/2013/01/28/adbrite-shut-down/

Adbrite stops service