Tacoda
Acquired3 known investors
New York online advertising network that pioneered behavioral targeting and was acquired by AOL in 2007.
Also known as Tacoda Inc. · Tacoda Systems
Investors · 3
Company profile
researched Aug 2026Tacoda was a New York-based online advertising company founded in 2001 by Dave Morgan. It operated an advertising network that delivered targeted advertisements to web users based on their browsing habits, and it is credited with helping pioneer behavioral online marketing.
In July 2007 AOL, then the online unit of Time Warner Inc., agreed to acquire Tacoda in order to help advertisers run more relevant advertising as AOL shifted its business toward advertising amid declining internet access subscriptions. AOL, headquartered in Dulles, Virginia, said it planned to operate Tacoda as a wholly owned subsidiary, with the deal signed on 23 July 2007 and expected to close by year's end. Reported deal values range from $275 million in later press accounts to $285 million in Wikipedia's compilation of AOL acquisitions. Tacoda personnel were subsequently associated with AOL's Platform-A advertising unit, and several former Tacoda executives joined Morgan's next company, Simulmedia, in 2009.
Founding story
Tacoda was founded in 2001 by Dave Morgan, who had previously founded Real Media, the online advertising company that became 24/7 Real Media and was sold to WPP Group for $649 million. Morgan later founded the television advertising startup Simulmedia in 2009.
Business model
Tacoda operated an advertising network, selling targeted advertising placements to advertisers across participating websites.
Latest developments
AOL completed its purchase of Tacoda following the July 2007 agreement and operated it as a wholly owned subsidiary. Founder Dave Morgan announced a new company, Simulmedia, in March 2009.
▸Full profile — market position, technology, go-to-market, geography, history
Market position
Tacoda was described as a pioneer of behavioral online marketing and was one of several advertising technology companies acquired by AOL in 2007, alongside Third Screen Media, Adtech and Quigo.
Technology
Tacoda's system delivered advertisements targeted to a visitor's browsing habits, an approach known as behavioral targeting, which the company helped pioneer in online marketing.
Go-to-market
Advertisers seeking to place more relevant advertising in front of web audiences, and the web publishers whose inventory made up the advertising network.
Geography
Headquartered in New York; acquirer AOL was headquartered in Dulles, Virginia, in the United States.
History
Founded in 2001 as an online advertising company focused on behavioral targeting, Tacoda was acquired by AOL under an agreement signed on 23 July 2007 and announced the following day; AOL said it would run the New York-based company as a wholly owned subsidiary and expected the transaction to close by the end of 2007. Following the acquisition, Tacoda staff worked within AOL's advertising organization, including its Platform-A unit, and a number of former Tacoda executives — among them Conor Finnegan, who managed pricing and inventory, and Julie Nolan, who led administration and HR — subsequently joined founder Dave Morgan's next venture, Simulmedia, in 2009.
Compiled by commissioned research from 5 cited public sources — announcements, filings, and press listed under research sources below.
Key figures
latest reportedCompany-reported or press-reported figures, each dated to when it was claimed — not independently audited.
Timeline · 2
launches, deals, and filingsAOL, the online unit of Time Warner Inc., said it was buying Tacoda Inc., which delivers targeted ads based on a visitor's browsing habits. The agreement was signed on 23 July 2007 and the deal was expected to close by year's end; AOL planned to run New York-based Tacoda as a wholly owned subsidiary. Financial terms were not released at announcement.
Wikipedia's list of AOL acquisitions records the 23 July 2007 acquisition of Tacoda, an advertising network, at $285,000,000. Press coverage of founder Dave Morgan reported the sale to AOL in 2007 for $275 million.
$285M source ↗
Dated company events from announcements, filings, and press; legal rows summarize public dockets and regulator releases.
In the news
▸Research sources · 5
primary sources listed
- Tacoda, Real Media Founder Dave Morgan Back With Another Ad Startup - Business Insiderbusinessinsider.com · web
5 public sources were cited for this profile; the first-party ones are listed here.
Frequently asked questions
- What does Tacoda do?
- New York online advertising network that pioneered behavioral targeting and was acquired by AOL in 2007.
- Who are Tacoda's investors?
- Tacoda's investors include Rho Ventures, Union Square Ventures (USV), Masthead Venture Partners.