Synacor announced that AT&T has awarded it a portal services contract, and it sent the vendor’s stock on a skyrocket. The two companies will reportedly develop and manage desktop and mobile portal services designed to drive user engagement, populate these experiences with content sourced from popular brands and monetize the experiences through search and advertising.
After-hours trading yesterday of Synacor reportedly had it up 140 percent, following the announcement of the deal after the close of trading.
In a conference call with reporters and investors today, Synacor CEO Himesh Bhise estimated the revenues associated with the AT&T partnership to be about $100 million per year after it fully rolls out its product and migrates it to AT&T customers. “This deployment is targeted for 2017,” Bhise says.
Early products are slated to deploy in Q2 2016, with broader services slated to commence deployment in Q4 2016, according to Synacor.
