Reports from Engadget states that Verizon Wireless, (An American service provider) has agreed a deal to purchase AOL. The other side of the story goes that AOL is the parent company behind huge media agencies which includes : TechCrunch, The Huffington Post, AOL.com and Engadget themselves.
Details of the reports states that the deal was worth around $50 per share, a total of approximately $4.4 billion.
Tim Armstrong, AOL chief had this to say:
“Verizon is a leader in mobile and OTT connected platforms, and the combination of Verizon and AOL creates a unique and scaled mobile and OTT media platform for creators, consumers and advertisers. The visions of Verizon and AOL are shared; the companies have existing successful partnerships, and we are excited to work with the team at Verizon to create the next generation of media through mobile and video.”
This could mean that AOL will run as a separate unit within the business, while Verizon will use them as distribution channels to full advertise their products and services.
Imagine a company like MTN buying up top blogs and newspaper agencies in Nigeria…