eBay acquires Israeli visual search co Corrigon

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Corrigon's employees, based in Tel Aviv, will move to eBay's Israel Development Center in Netanya.

eBay has announced that it has signed an agreement to acquire Israeli visual search technologies developer Corrigon Ltd.. No financial details about the acquisition were disclosed but sources close to the deal say that eBay will be paying $30 million for the Tel Aviv based startup.

Corrigon helps identify objects within an image, matching both visual and textual elements to ensure that the image is recognized, correctly classified and best-matched to its corresponding product. eBay says that with more than one billion live listings on its platform, Corrigon's expertise and technology will help match the best images to their products so that shoppers can be confident that what they buy is exactly what they see. The Israeli company will contribute to eBays efforts with image recognition, classification and image enhancements as part of its structured data initiative.

Corrigon is eBay's second acquisition in Israel in 2016 following the purchase of SalesPredict, which uses advanced analytics to predict consumer-buying behavior, for about $40 million.

eBay VP and general manager Structured Data Amit Menipaz said, As we continue to evolve the eBay shopping experience, Corrigon's technology and expertise will help buyers find the best results when shopping on eBay through experiences that were not possible a year ago, before our investments in structured data. Corrigon represents eBays third acquisition in the structured data space this year, further underscoring our commitment to powering deeper inventory insights for our sellers and compelling new user experiences for our buyers.

Corrigon CEO and cofounder Avinoam Omer said, "Corrigon's state-of-the art visual search technology enables fine grained product detection within images. We look forward to applying our expertise and technology to eBay's platform, which has more than a billion product images. Working in partnership with eBays structured data team, we will help eBay sellers list more efficiently and eBay buyers find what they are looking for faster in order to increase customer sales conversions.

eBay said that upon the closing of the transaction, the Corrigon team will join eBays structured data organization and will be based in eBays Israeli Development Center in Netanya.

Corrigon was co-founded in 2008 by Avinoam Omer and Einav Itamar. Prior to Corrigon, Omer founded Zoomix (acquired by Microsoft), which developed machine learning technology for data quality and master data management and, before that, DataChase.

Corrigon's founders have not raised money since the company was established, meaning that Omer and Itamar will each receive $4.5 million for their 15% stakes, while Ilan Shiloah and Nir Tarlovsky's The Time incubator in Tel Aviv, which holds a 36% stake, can expect to receive $10.8 million.

Published by Globes [online], Israel business news - www.globes-online.com - on October 6, 2016

Copyright of Globes Publisher Itonut (1983) Ltd. 2016

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