Location-based mobile advertising startup AppLoop has shut down, according to Techcrunch. The company launched last June, timed to coincide with the 3G iPhone release, and provided a self-service ad delivery and tracking platform that leveraged GPS to deliver business ads to consumers based on their location.
In October, it came out with the App Generator, a handy tool that turned any online RSS feed into an iPhone application. Why AppLoop is closing its doors is a bit of an unknown. In an email to Techcrunch, co-founder Eric Kerr cited a “variety of financial and legal based reasons” which could mean a great number of things. The company blog has been taken down as well, so if there was ever a reason posted there it’s gone.
For such a young, innovative company to fail so early in its life makes me think that legal problems were the cause. Hmm…maybe AppLoop will emerge in the virtual goods business. No, unlikely.