Digi-Capital’s Mobile Internet Billions list has grown to 32 “billion dollar” companies, adding $11.4B shareholder value in Q3 2014 alone. “That’s $125M value added every day of Q3 to reach a combined $163B valuation, only 7 years after the launch of the iPhone,” said Digi-Capital Managing Director Tim Merel. The Mobile Internet Billions list is below, with full analysis in our Mobile Internet Investment Review Q3 2014
The companies listed all have substantial parts of their business from mobile internet, but exclude mobile infrastructure (e.g. Qualcomm), device (e.g. Apple) or substantial but minority mobile internet businesses (e.g. Tencent with WeChat). The valuations come from a mix of public markets, acquisitions and fundraising rounds.
Who’s up, new and down?
As well as adding huge value collectively, there has been a lot of movement in the rankings. Daumkakao (merger of Daum and Kakao) leapt 15 places, followed by Mixi, Square, Tango and AirWatch. Youzu Interactive, Momo, Com2Us, Gumi, Kabam and FunPlus are new to the list, while DeNA, King, GREE, Gungho, Pandora, Waze, Zillow, Snapchat and CyberAgent all lost places.
The diversity of the Mobile Internet Billions companies is as impressive as its scale, spanning games (12), social (5), messaging (4), music (2), utilities (2), enterprise (1), lifestyle (1), mCommerce (1), navigation (1), photo & video (1), productivity (1) and transport (1) sectors. The next “billion dollar” company could come from any mobile internet sector.
Mobile internet is a game for both global giants and domestic dynamos, dominated by Asia (15) and America (13). Although Asia has the most Mobile Internet Billions companies, they are divided between Japan (8), China (5) and South Korea (2). Europe has Finland (1), Sweden (1) and UK (1), with Israel (1) the only Middle Eastern entry. The need for speed
The Mobile Internet Billions value is impressive, but its speed is unprecedented. Measured by shareholder value added per year since founding, WhatsApp ($4.4B per year), Twitter ($3.7B per year), Uber ($3.4B per year), LINE ($3.3B per year), Daumkakao ($2.4B per year) and SnapChat ($1.5B per year) have truly outperformed for their investors. If value continues to be added at this rate, the Mobile Internet Billions list could be worth $200B next year. This is the first part of a three parts series for Q3 2014:
- 32 “billion dollar” mobile internet companies worth total $163B added $11B value in Q3 2014 ($125M a day);
- Mobile internet investment: record $19.2B invested, stock market sectors return up to 78% in last 12 months; and
- The 9 best exit returns in mobile internet: $94B exits in 12 months to Q3 2014, up to 15.6x VC/growth equity return on investment.
About Digi-Capital (www.digi-capital.com): Digi-Capital advises mobile internet, games and digital clients in America, China, Japan, South Korea and Europe for investment banking (M&A, investments), management consulting (strategy, due diligence) and industry research (mobile internet, games)