ANZ bank kills off another startup investment – consumer data insights platform DataCo

ANZ has shut down another startup backed by 1835i, the bank’s former VC fund, which it also terminated earlier this month, 

DataCo Technologies, developed inside the 1835i Creation Lab, helped businesses collaborate safely on customer data sharing.

Its closure follows the shutdown of fintech Cashrewards last month, despite a $100 million investment and the sale of 1835i’s Airwallex stake for $67 million.

DataCo solved the problem of protecting consumer privacy and commercially sensitive data, combinging them to provide insights in what’s known as a clean room.

Nine Entertainment, SBS and Southern Cross Media are DataCo clients and Nine’s business title, the AFR, hinted that the bank may face claims for compensation after the media companies were told about the closure last week.

Nine was forced to drop a key component of its annual pitch to advertisers last week just before its presentation because it involved DataCo, the AFR reported.

As spokesperson for the bank said that “following a strategic review of our business, ANZ has decided to wind down DataCo, as we focus on our strategic priorities. DataCo is working closely with their customers as they conclude the current arrangements in place.”

The 1835i portfolio also included DataMesh, Bud, Cito+, Curve, Slyp, Lendi, Valiant and Weel.

ANZ set up a non-operating holding company to take control of the 1835i investments after terminating its relationship with the VC, with the loss of 14 jobs.

DataCo signed a collaboration deal with SBS Data Lab last month, while in August, Southern Cross Media announced “world-first” adtech from DataCo using artificial intelligence and first-party user data from its app, Listnr’s for advertisers to target prospects in real time.

In November last year, ANZ announced a strategic partnership with DataCo to use de-identified bank customer and transactional data for business insights to uncover spending trends and identify strategic opportunities.

The bank’s new CEO, Nuno Matos, who is on a cost-cutting spree and also plans to axe thousands of jobs, as part of a major restructure, is also dealing with a $240 million fine for misconduct after cutting a deal with ASIC.