Top Story

Home >> Digital >> Article

iZone International: AOL buying Huffington Post: Money well spent?

09-February-2011
Font Size   16
iZone International: AOL buying Huffington Post: Money well spent?

AOL has spent $315 million to acquire the Huffington Post, an online newspaper whose sudden rise to prominence showed many traditional print outlets how the web could help them to regain relevance.

Named after its founder Arianna Huffington, the Huffington Post, or HuffPo as it is known, has been through its fair share of controversy for regularly printing advice from “experts” who lack expertise, but despite this it has continued to grow and recently became profitable.

AOL, on the other hand, is a company resurgent – from its beginnings as a tech company, which reached out to consumers by handing out free CDs which would allow them access to the Internet, AOL grew to be a giant portal, which seemed to be America’s window to the Internet. However, AOL was also one of the companies that all but disappeared following the dot-com bubble burst.

Despite that, AOL remained a significant presence online, even as it was overshadowed by newer entrants. However, with the acquisition of the Huffington Post, along with several others in recent times, the company seems determined to return to the top spot. AOL has been making acquisitions that focus on content, and is determined to move away from its roots as a portal.

HuffPo has a huge and fairly rabid fanbase, which can only help AOL, just like the earlier acquisition of TechCrunch. Social networks have taken content to a new relevance, and sharing of links over Twitter and Facebook mean that discovery is about more than just search. While SEO remains important, companies must create a greater volume of quality content to stay relevant.

Huffington will continue to work on HuffPo, which is also probably a smart move for AOL – her image has been strongly associated with the blog’s brand, and experts are expecting to see continued growth to the tune of 200 per cent over the next year for the blog, so this move might be the one to bring AOL back into the limelight.
 

Chief Content Officer, Eros Group, on Eros Now's first original comedy series, reception to its short form content and code to crack original content strategy

The new Head of Office for FCB Ulka Bengaluru on her vision for the agency, her role in shaping brands over 16 years, and why it is important to have fun in advertising

Strategy Head, Zirca Digital Solutions listed out key aspects of a good content marketing strategy and performance indicators for successful campaign

Richard Ingleton, Group CEO, Kantar Insights, says it is not right to associate market research with just survey

Guest Column: The CEO of Worldwide Media takes us through the notable trends and exciting developments in the media & entertainment space

Aaj Tak announces a thought provoking brand campaign where the launch platform includes first ever News Roadblock on Aaj Tak Prime Time