AT&T Could Sell Xandr, Its Digital Ad Unit

AT&T is Marie Kondo-ing its non-core holdings to reduce its debt, which could include its digital ad unit Xandr.

When I heard last week that the conglomerate was trying to sell DirecTV (again), I nodded along. The Xandr news, on the other hand, took me by surprise. Here’s why:

Chaos might ensue: Xandr tech is already baked into how AT&T sells its ad space, even in regard to upfronts (which, as we all know, are already chaotic enough).

History: AT&T spent a lot of time and effort getting Xandr to that point.

• AT&T bought AppNexus, which operates one of the largest online ad exchanges in the world, just before launching Xandr in 2018.
• The $1.6 billion ad exchange + TV ad space complete with AT&T data on wireless subscribers = Xandr, which seemed like a brilliant idea.

Big picture: Although Xandr wasn't an overnight superstar (digital advertising is a tough game with the likes of Facebook and Google as competitors), the digital ad unit had been portrayed as integral to the company’s future...until now.