Octopus Interactive

About Octopus Interactive

Octopus Interactive operates the largest network of interactive video screens within rideshare vehicles across the United States. The company's business model is centered on a dual-sided platform that benefits both rideshare drivers and advertisers. For drivers of services like Uber and Lyft, Octopus provides a free tablet and mounting equipment. This hardware is used to entertain passengers with content such as games and ride information, which has been shown to improve drivers' tips, ratings, and overall earnings, with the potential to add up to $100 per month in income.

The company was co-founded by Cherian Thomas and Bradford Sayler. Before this venture, the founders created Spotluck, a restaurant discovery app. Their experience led them to pivot to Octopus Interactive in 2018, recognizing the potential of the captive audience within rideshare vehicles. Thomas, with an MBA and a master's from Georgetown, saw the need for a partner with a different skillset, which he found in Sayler, a corporate attorney and CPA. This strategic partnership was foundational to their business plan. On the other side of the platform, the company generates revenue by selling advertising space to major brands. These advertisers, including names like Audible, Fox Entertainment, and Philo, are able to reach a highly engaged and sought-after demographic—nearly 80% of riders are aged 18-49 with high household incomes. The platform delivers geo-targeted, interactive video ads, which have demonstrated high engagement rates. For instance, some campaigns have seen engagement rates over 3.5% with QR codes proving particularly effective in this environment.

A significant milestone in the company's history was its acquisition by T-Mobile in January 2022. This acquisition integrated Octopus into T-Mobile's Marketing Solutions division, aiming to expand the telecom giant's advertising technology offerings. The deal also meant that the tablets in the rideshare network would be powered by T-Mobile's network. Before the acquisition, Octopus Interactive had successfully raised $13.3 million in funding, including a notable $10.3 million round in 2019.