Feeds

Phorm losses shoot up by half

Advertisers wanted

Top 5 reasons to deploy VMware with Tegile

Phorm made a loss of $24.7m (£13.8m) in the first half of 2008 as it fought privacy advocates, lobbied to get politicians on side and tried to overcome technical problems dogging its ISP adware system.

The firm's losses were up 52 per cent compared to the same period in 2007. It still has about £24.9m in cash reserves, mostly from a stock sale earlier this year. Revenue remains zero.

In an unusually lengthy statement accompanying the results, CEO Kent Ertugrul said the response from advertisers - the people Phorm hopes will eventually repay investors' tens of millions - to the "Open Internet Exchange" has been "very positive" in the UK. He didn't reveal any deals with ad agencies or publishers, but said "we have engaged with the majority of the key media agencies".

Phorm's figures were released the day after BT finally scheduled its third trial of the technology. Ertugrul said he expects development of the business "to accelerate now that the BT trial has begun". He said talks with ISPs overseas are continuing, and that a consumer trial with an unnamed non-US provider is ongoing.

Political scrutiny has made behavioural targeting a hot potato for US ISPs, but Phorm has hired a major lobbying firm in a bid to persuade Congressmen to its point of view.

In the UK the BT trial is set to last several weeks* and it is likely to be several months before a full network deployment with advertisers on board.

Ertugrul said: "We appreciate that there are significant challenges to meet in order for the Company to realise the opportunity to tap into the growing internet advertising market. The Company is still early in its stage of development and as is to be expected of any project of this size, there will be many issues to deal with to deploy our system."

The full statement and results are here. ®

*Strangely, El Reg hasn't heard from anyone who has been invited to take part in BT's test. Get in touch if you have.

Beginner's guide to SSL certificates

More from The Register

next story
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Lords take revenge on REVENGE PORN publishers
Jilted Johns and Jennies with busy fingers face two years inside
Yes, yes, Steve Jobs. Look what I'VE done for you lately – Tim Cook
New iPhone biz baron points to Apple's (his) greatest successes
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
Edward who? GCHQ boss dodges Snowden topic during last speech
UK spies would rather 'walk' than do 'mass surveillance'
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.