Verizon bids US$4.4 billion for AOL

The operator wants more content and an advertising platform as it looks for new ways to make money

Verizon Communications has agreed to buy AOL for about US$4.4 billion, as it looks to build more extensive digital and video platforms to drive future growth.

Network operators have to find new ways to make money as their traditional revenue streams are under pressure from a new generation of companies such as Skype, Facebook and WhatsApp.

Verizon's acquisition plan further drives its LTE wireless video and OTT (over-the-top) video strategy, the operator said, adding that its plan is to deliver services to customers over a global multiscreen network platform;

AOL's key assets include its subscription business: Media brands such as The Huffington Post, TechCrunch, Engadget, Makers and AOL.com, as well as original video content, according to Verizon. The company is also after AOL's programmatic advertising platforms, and looks to combine that with its own assets to build a mobile-first advertising platform.

The transaction will take the form of a tender offer followed by a merger, with AOL becoming a wholly owned subsidiary of Verizon upon completion. The transaction is subject to the usual regulatory approvals, but the companies expect to close the deal this summer.

Send news tips and comments to mikael_ricknas@idg.com

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments

Blog Posts

Cannes 2018: The Big Not Easy

This year’s Cannes Lions program is packed full of data, robots, algorithms, voice technology, blockchain, virtual reality, artificial intelligence and machine creativity. But I’m just as interested in more subtle trends and insights.

Richard Brett

CEO, opr

CMOs are talking the CX talk, but not yet walking the walk

Customer experience is eclipsing product as a competitive differentiator. CMOs are recognising this shift and talking the talk. But are they also walking the walk?

Will our manners go the same way as texting when robotic servants take over?

Much of the talk in the industry is focused on the limited amount of time that screens have left in our lives.

Katja Forbes

Founder and chief, sfyte

Whom It May Concern!We pray for God's blessings and happiness in all our lives & business. Welcome To Kenneth Abrighten Financial Hom...

Anita K.Gold

Live webinar from CMO: Creating memorable customer experiences: The who, what and how

Read more

You're suggesting that Taylor Swift is a non-brand because we don't know who she votes for, and then you suggest developing brand stories...

Brian 't Hart

Why Gartner thinks brands are too uptight about strategy

Read more

Indeed this is the great article but i will love to recommend you to read the case study of Walamrt for get the more and more customers. ...

Eva Buttler

5 steps to customer intelligence success

Read more

here is the good news now you can find the all adobe products at walmart .. read this news here at https://creditcardsfair.com/

Yasir Abbas

Adobe: Tech architecture, talent stopping companies making the experience shift

Read more

Google is more like a utility. Does a road have a brand? No. Do we use it daily? Of course! And the idea of Taylor Swift as an unbrand be...

Davy Adams

Why Gartner thinks brands are too uptight about strategy

Read more

Latest Podcast

More podcasts

Sign in