Taboola intends to buy UK's Dianomi in order to stay in Native Ads but pivoting the concept towards a higher quality standard

I've read what Allison Schiff wrote in AdExchanger on Friday, September 18th. The article provided us with details about the Agreement between Taboola and Dianomi (however, remember that Taboola and Outbrain agreed to merge, and it never happened).

It also comes with some analysis. And, to me, it seems that the core idea is this one: "Taboola, meanwhile, made its name as a content recommendation engine, aka a purveyor of the chumbox. But it’s been moving away from that business." "Dianomi: The audiences are high-intent, the editorial context is brand safe and high quality, and the CPMs reflect that."

The format Dianomi uses is Native Ads. Basically, one might think Taboola prefers to pivot the product by buying other companies. And to bid for them and their contracts, rather than to bid aggresively for each publisher like they used to do in the past.

In a separate press release, they admitted that they will drop some of their not-so-good publishers. We'll see.

However, to see Taboola still sticking to Native is good news, specially after Teads it's hiding Outbrain more an more inside their belly. There could be a bright future for specialized Native Ad Houses with a focus on quality rather than reach.