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Ironsource
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Ironsource

A mobile game developer pays $3 to acquire a player who generates $2 in purchases. IronSource fixed the math with rewarded video ads paying 10 cents a watch. Suddenly every player became profitable. Unity paid $4.4 billion.

A mobile game developer spends $3 to acquire a player who generates $2 in lifetime revenue. The math fails. Iron Source fixed it by making in-game advertising generate more than acquisition cost. A rewarded video pays the developer $0.10 when a player watches 30 seconds for extra lives. 20 reward ads during a lifetime earns $2 in ad revenue on top of purchases. The player becomes profitable. Iron Source launched in 2010 in Tel Aviv and built a mediation platform letting developers show ads from multiple networks. The platform ran an auction for every impression, selecting the highest bidder in real time. Developers earned 15 to 30% more per impression than those using a single network. The difference turned unprofitable games into viable businesses.

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