Trade Desk developing operating system ‘logical progression,’ says Citi

According to a news report from Lowpass, Trade Desk has been developing its own smart TV operating system to license to hardware device makers, a move that aligns with its connected TV strategy and building on its market position, Citi analyst Ygal Arounian tells investors in a research note. The firm says Trade Desk has become increasingly more important within the connected TV landscape and that this potential shift into the operating system is a “logical progression.” While there are still many unknowns, the company will likely remain committed to its strategy of operating agnostic and not owning inventory, “something that has been key to its success and has made it such an integral partner to advertisers,” says Citi. The firm keeps a Buy rating on the shares with a $115 price target.