AOL has announced the acquisition of Bebo (www.bebo.com), a leading global social media network. AOL has already entered into an agreement with Bebo, but the monetary transaction is yet to be done.
Bebo is a global social media network that includes self-expression and entertainment to enable its users to consume, create, discover and share content. It is a leading networking site especially in countries such as the UK, Ireland and New Zealand. Furthermore, it employs 100 people in its offices located at the UK, San Francisco and Austin, TX.
AOL has launched 17 international websites last year. Further it is expanding to 30 countries outside the US by the end of 2008.
“Bebo is the perfect complement to AOL’s personal communications network and puts us in a leading position in social media,” said Randy Falco, Chairman and CEO, AOL. “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.”
“AOL understands the shifting dynamics of the Web and has clearly demonstrated its commitment to leveraging the ever-increasing power of social networks,” said Bebo President, Joanna Shields. “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.”
Under this agreement, AOL will acquire Bebo for $850 million in cash.