AOL Buys Bebo Social Network - InformationWeek
03:48 PM
Jake Widman
Jake Widman

AOL Buys Bebo Social Network

BBC News, CNET News

AOL internet division is scooping up the international social networking site Bebo for $850 million.Bebo is the third-largest social networking site in the United States, behind MySpace and Facebook. The $850 price has to be considered a bargain in today's hot social-network market: Microsoft paid $240 million for just 1.6 percent of Facebook last year; and News Corp, which paid $580 million for MySpace three years ago, now values that property at more than $15 billion.

Bebo fits into AOL's current advertising-oriented growth plans, as social networks are considered prime locations for targeted online ads. The acquisition is also a way for the Time Warner subsidiary to broaden its international reach: Bebo is very popular among the desirable 13-24 age group in the U.K., Ireland, and New Zealand. AOL has announced plans to expand to 30 countries outside the U.S. by the end of 2008, while Bebo will spread to France, Germany, Italy, Spain, and the Netherlands.

?This is a tremendous acquisition and one I think is game-changing for AOL?it puts us squarely as a leader in social media,? AOL chairman and CEO Randy Falco said. ?Bebo will be the cornerstone of our strategy to transform the online experience for advertisers, media companies and consumers. Bebo is the best social media asset out there.BBC News, CNET News

Comment  | 
Print  | 
More Insights
Newest First  |  Oldest First  |  Threaded View
How Enterprises Are Attacking the IT Security Enterprise
How Enterprises Are Attacking the IT Security Enterprise
To learn more about what organizations are doing to tackle attacks and threats we surveyed a group of 300 IT and infosec professionals to find out what their biggest IT security challenges are and what they're doing to defend against today's threats. Download the report to see what they're saying.
Register for InformationWeek Newsletters
White Papers
Current Issue
2017 State of the Cloud Report
As the use of public cloud becomes a given, IT leaders must navigate the transition and advocate for management tools or architectures that allow them to realize the benefits they seek. Download this report to explore the issues and how to best leverage the cloud moving forward.
Twitter Feed
InformationWeek Radio
Archived InformationWeek Radio
Join us for a roundup of the top stories on for the week of November 6, 2016. We'll be talking with the editors and correspondents who brought you the top stories of the week to get the "story behind the story."
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Flash Poll