AOL buys social networking site Bebo for $850 million

Posted Mar 13th 2008 10:00AM by Brad Linder
Filed under: Internet, Web services, Social Software, AOL, web 2.0

AOL has picked up social networking site Bebo for a huge wad of cash. While we didn't really see this coming, the move makes a lot of sense. AOL's audiences tend to skew old (you know, except for the fine young folks who read AOL-owned blogs like Download Squad), while Bebo is big with the 13-24 set and has 40 million registered users.

While Bebo doesn't have the name recognition of Facebook or MySpace in the US, it's huge in the UK, Ireland, and New Zealand. And it does have a considerable US audience as well. Perhaps most importantly, regular users click on an average of 78 pages per day, showing a high level of user engagement.

[via paidContent]

Tags: acquisition, bebo, social-networking

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Reader Comments (Page 1 of 1)

3-13-2008 @ 11:45AM

oiya said...

That means they are paying 20 bucks a user. Isnt that a bit on the high side especially for someone that does not have a huge US exposure? At the same time AOL has laid off people in the Washington DC area. Boggles the mind.

3-13-2008 @ 11:48AM

Greg said...

Bebo is massive with British school children. Facebook and MySpace are miniscule compared with Bebo for these kids.

I think AOL may have a winning move. They are targeting a totally different audience no one else is paying much attention to. The US is not everything!

3-13-2008 @ 12:50PM

oiya said...

Hey Greg,

I didnt realize the british school kids angle. Thanks for pointing it out.

3-14-2008 @ 9:28AM

John said...

AOL has $850 million?

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