Breaking News: Bebo is Aquired by AOL for $850 million

AOL has announced this morning that they have acquired social networking service Bebo for $850 million in cash. Bebo is the third-largest social networking service in the U.S. behind MySpace and Facebook. Why has AOL done this? One reason is that the soon to be Platform-A will have a huge amount of inventory to sell. AOL has made a big step forward in targeting the youth demographic that use Bebo. 

Bebo claims over 40 million members and is one of the leading social networks in the UK, and is ranked number one in Ireland and New Zealand, and number three in the U.S. Its users are heavily engaged and view an average of 78 pages per usage day. Together with its AIM and ICQ personal communications network, the acquisition will give AOL a premier position in the fast growing world of social media with a network of approximately 80 million unique users.

Tags: acquisition aol bebo