Mirriad Advertising Regulatory News (MIRI)

Mirriad signs NEW contract with Tencent

28 June 2019

("Mirriad" or the "Group")

Mirriad secures 'breakthrough' commercial agreement with Tencent Video in China

Mirriad Advertising plc ('Mirriad'), the established computer vision and AI platform company, today announced a new two-year agreement with Tencent, one of the largest online video platforms in China, by mobile daily active users.

Mirriad recently shared its new company strategy with shareholders and indicated that it intended to move to a new business model in China.

Mirriad and Tencent have been working to develop new technology which integrates Mirriad's in-video advertising technology more closely with Tencent's video platforms. The key innovation allows only the new programme segments containing advertising to be delivered to Tencent and integrated at the point Tencent releases content to its digital video platforms.

The development of Mirriad's platform makes it significantly more scalable than previous generations of the platform in China. It will give advertisers in one of the largest advertising markets in the world new ways to reach key audiences.

The new contract provides exclusivity to Tencent for Mirriad's technology and services in the People's Republic of China. Under the contract Tencent will pay a fixed monthly licence fee and Mirriad will provide a minimum volume of advertising and promotional work for use with Tencent advertising clients. Work over and above this minimum will be charged incrementally.

This is the first contract of its type that Mirriad has struck. The contract will immediately enhance 2019 revenues due to the fixed monthly fee and at a minimum the contract will generate multiple millions of pounds of revenue for Mirriad over the 24-month contract term.

Stephan Beringer, CEO of Mirriad, said: 

"This substantial new contract with Tencent provides a clear vote of confidence in Mirriad's updated strategy and our refocused efforts in China. We are delighted to be working with such a key player in the Chinese market and we are excited about the results we can achieve with Tencent.

"Mirriad's ambition is to partner with the biggest broadcasters, digital platforms and advertisers around the world to deliver untapped revenue streams by seamlessly inserting brand advertising into content. Hard work on the development of our core technology has made this particular partnership possible and we look forward to more deals of this type in the near future."

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