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Investing.com -- Pinterest (NYSE:PINS) is shifting its ad strategy by partnering with external ad tech firms, marking a major change aimed at expanding its advertising reach. According to The Information, citing someone familiar with the matter, the social platform is looking to open ad sales to third-party platforms rather than relying solely on internal sales tools.
This move comes after Pinterest reportedly considered spending hundreds of millions of dollars on an ad tech acquisition earlier this year but ultimately decided against it. The person said Pinterest evaluated five potential acquisition targets, none of which resulted in a deal.
Instead, the company has begun testing partnerships with firms including Index Exchange and Criteo since the fourth quarter of last year. These collaborations signal a strategic push to make Pinterest’s ad inventory accessible through independent demand-side platforms.
By working with outside firms, Pinterest aims to draw in a broader pool of marketers—particularly smaller players that may not buy directly through its native tools. The approach mirrors what competing platforms like Snap are also reportedly considering, according to an ad industry executive.
Opening ad sales to third-party tech could make Pinterest more competitive with digital ad giants like Meta (NASDAQ:META) and Google (NASDAQ:GOOGL) by improving efficiency and reach. It may also attract new types of spending in areas such as retail, e-commerce, and consumer packaged goods, where precision targeting is key.
Pinterest has historically maintained tight control over its ad ecosystem, but the shift shows growing openness to programmatic models. Analysts say expanding inventory access could help boost revenue, especially in a more cautious ad spending environment.
The company has not confirmed a permanent shift but continues experimenting with external ad partnerships as it evaluates the long-term impact. Further expansion into this strategy would mark a significant evolution in how Pinterest monetizes its user base.
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