New York tech companies had a huge year in 2016, topped by multiple acquisitions, IPOs and mergers. Here, we’ve rounded up five of the largest tech deals that shook up New York’s tech community this year.
Walmart buys Jet for $3.3B
E-commerce fulfillment platform Jet was acquired by retail giant Walmart for $3.3 billion in cash and stock in August. Per the terms of the deal, the brands will remain separate, but Jet’s e-commerce tech will likely help boost Walmart’s online strength as Amazon continues to grow. Jet’s founder Mike Lore is no stranger to acquisitions, previously selling a portfolio of sites like Diapers.com and Soap to Amazon.
Etsy acquires A.I. startup Blackbird Technologies
Etsy, the online marketplace for handmade goods, acquired artificial intelligence company Blackbird Technologies in September 2016, marking the company’s sixth acquisition. Blackbird Technologies’ proprietary technology provides search and recommendations functionalities, which will allow Etsy to further optimize its search experience, as well as its long-term vision to deploy A.I. technology in areas beyond search.
DraftKings and FanDuel merge
In November 2016, long-time competitors FanDuel and DraftKings merged. With the new partnership, the two organizations plan to operate as one company, which will allow them to deliver more products, contests, social connectivity and a better overall user experience.
AppNexus goes public
In September, adtech powerhouse AppNexus announced that it closed a $31 million financing round, creating rumblings of a possible IPO. In December, the company confidentially filed paperwork for an IPO that is likely to come in the second quarter of 2017. The 9-year-old New York-based startup was most recently valued around $1.6 billion, and may seek a valuation of up to $2 billion in the exit.
Uber buys A.I. startup out of NYU Tandon
In December 2016, Uber announced that it’s acquiring Geometric Intelligence, a startup based out of NYU Tandon’s Data Future Lab. The startup marks Uber’s third acquisition, and will form the basis of Uber’s newly launched AI Labs. The AI Labs will conduct ongoing research into artificial intelligence and machine learning.
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