• Verizon to Acquire AOL for $4.4 Billion



    A major deal was announced today by Verizon.

    According to an announcement straight from the nation's largest wireless operator, Verizon will acquire AOL in what is poised to be an epic and potentially game-changing merger.

    Verizon says the move represents the company's desire to build out its digital and video platforms. The telecommunications giant is purchasing AOL for $50 per share -- an estimated total value of around $4.4 billion.

    In today's formal announcement, Verizon says the deal should also advance its wireless video and OTT (over-the-top video) strategy. And IoT won't be overlooked either. "The agreement will also support and connect to Verizonís IoT (Internet of Things) platforms, creating a growth platform from wireless to IoT for consumers and businesses," Verizon says.

    As far as AOL's leadership at Verizon is concerned, Tim Armstrong, AOL's CEO, will continue to lead AOL operations even after the deal with Verizon commences.

    Source: Verizon
    This article was originally published in forum thread: Verizon to Acquire AOL for $4.4 Billion started by Michael Essany View original post
    Comments 6 Comments
    1. SpiderManAPV's Avatar
      SpiderManAPV -
      Can anyone explain what about AOL is worth spending that kind of money on? The only people I know using AOL in any way shape or form are very old people who used AOL first and wonít change.
    1. bigscrb15's Avatar
      bigscrb15 -
      Quote Originally Posted by SpiderManAPV View Post
      Can anyone explain what about AOL is worth spending that kind of money on? The only people I know using AOL in any way shape or form are very old people who used AOL first and wonít change.
      Aol. is no longer just an internet service provider. they are predominately a media and advertising company. They own Huffington Post, Engadget, TechCrunch and more.
    1. bigboyz's Avatar
      bigboyz -
      They probably still have a decent sized customer base in rural areas. Only thing i can think of. And from what bisgscrb15 says, they are into more than being an ISP.
    1. SpiderManAPV's Avatar
      SpiderManAPV -
      Even so, how does owning media outlets help Verizonís game? In the article it mentions the IoT and OTT. Those seem like things a tech company would be interested in, not a media outlet.
    1. bigboyz's Avatar
      bigboyz -
      Online video advertising. That's what I've read elsewhere.
    1. scorpio02150's Avatar
      scorpio02150 -
      AOL still has 2.15 Million internet subscribers:
      2.15 Million People Still Pay AOL For Internet Access ? Consumerist

      I also saw this on another news outlet.
  • Connect With Us

  • Twitter Box

  • Facebook