Advertising technology start-ups are struggling to get funding because of the dominance of Facebook and Google. According to the data, the number of deals in ad tech companies is forecast to decrease by 17%, compared with 2015. The number of global adtech venture financing deals will touch 343 by year-end, a 17 per cent drop compared with 414 deals in 2015, according to data collated for the Financial Times by CBInsights.
The data also showed a 33 per cent drop in the volume of funding in the past year, from $3.2bn to an estimated $2.2bn — comparable to 2013 volumes. On a quarterly basis, only 69 adtech deals were completed in the fourth quarter of 2016 to date, the lowest it has been in any quarter since 2012.