AOL Buying Bebo

Wow! This is amazing news! AOL is now going to be able to roll it’s user base right into the bebo mix, and add 40 milion users–probably with very little overlap–pronto. Smart move! $$850 million, cash.
Susan sez: Here’s the deal, and I am impressed with it:

  • AOL grows user base, asap–and ages it down from their core audiences outside of by, oh, 20% (user base more appealing to advertisers)
  • AOL has another tool for international expansion–an area where they can effectively compete at a reasonable margin
  • Great platform to look ahead to stronger and more integrated mobile extensions, for US and abroad
  • More sites to instrument to offer improved ad delivery and targeting–this will give them more competitive positioning with advertisers–and more data intelligence about a more varied–and international–group of users
  • Mobile. Did I say mobile? Mobile social network=future=$$$

bebo has about 40 million users worldwide, it’s in the top 3 social networks in the UK, and is number 1 in Ireland and New Zealand, and number 3 in the U.S. 78 PV average user, per month.
Bebo is the perfect complement to AOLs personal communications network and puts us in a leading position in social media. What drew us to Bebo was its substantial and fast-growing worldwide user-base, its vision of a truly social web, and the monetization opportunities that leverage Platform-A across our combined global audience. This positions us to offer advertisers even greater reach and marketers significant insights into the desires and needs of consumers.”

–Randy Falco, AOL Chairman

“AOL understands the shifting dynamics of the Web and has clearly demonstrated its commitment to leveraging the ever-increasing power of social networks. With one and the same vision in this area, it was a natural progression for Bebo to join AOL, and we look forward to working together to continue to expand the online social experience globally.”
Joanna Shields, Bebo prez
“Bebos dynamic management team recognizes that the Internet is less about destination and more about connecting people, culture and lifestyles. This acquisition supports our key objectives – accelerating the growth, engagement and monetization of one of the worlds most engaged online communities.”
Ron Grant, AOL President and COO

Latest Comments

  1. Online Auto Auction says:

    It seems that nothing is safe from these billion dollar companies.

  2. Sally Wu says:

    I think AOL’s acquisition of bebo portends its end…

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