Truelink Capital has acquired a stake in adtech firm Channel Factory to capitalize on the growing creator economy and contextual advertising market. The deal represents Truelink's eighth investment in the tech-enabled services sector. Financial terms remain undisclosed.

AI Technology Powers Cross-Platform Growth

Channel Factory's proprietary AI technology, originally developed as View IQ for enhancing brand safety on YouTube, analyzes billions of videos to optimize ad placements across multiple platforms. The company has leveraged its position as "the world's largest buyer of YouTube TrueView" to build relationships with major advertising agencies.

“We see exceptional opportunities to support the business as it develops its core technology to support other social media platforms, ultimately positioning itself as a one-stop provider for contextual targeting,” Luke Myers, co-founder of Truelink Capital, said in a press release.

Channel Factory will maintain its existing leadership team under founder Tony Chen while accelerating international expansion. The transaction involved BMO Capital Markets as buy-side financial advisor and Canaccord Genuity as exclusive investment banking advisor to Channel Factory.

Creator Economy Connection Drives Investment Appeal

Channel Factory's appeal extends beyond its core advertising technology into the creator marketplace through its Creators Buddy division. Launched in 2024, this self-serve platform enables content creators to boost view counts and fulfill brand deal requirements on YouTube.

"Every brand needs a creator, and every creator needs a brand," Dylan Conroy, Head of Strategic Partnerships at Channel Factory, told Net Influencer last year when describing the company's vision for connecting influencers with advertisers.

The investment comes as influencer marketing expands outside traditional consumer products into B2B sectors. Channel Factory's technology bridges this gap by enabling contextual targeting that matches ads with relevant content across platforms.