AOL have purchased TechCrunch for a crunching $25 million. This is the first move to boost editorial content for AOL since being split up from Time Warner.
AOL do not have a great track record for purchases, as they paid $850 million for Bebo in 2008 and then offloaded it in June for $10 million – not a great business move by any definition.
TechCrunch are joining AOL’s network of websites including web magazine Engadget and Switched. Michael Arrington, the founder will remain onboard to keep the direction focused. He said in a blogpost “”The truth is I was tired, But I wasn’t tired of writing, or speaking at events. I was tired of our endless tech problems, our inability to find enough talented engineers who wanted to work, ultimately, on blog and CrunchBase software. And when we did find those engineers, as we so often did, how to keep them happy. Unlike most startups in Silicon Valley, the centre of attention at TechCrunch is squarely on the writers. It’s certainly not an engineering driven company.”
Arrington has described AOL as a ‘perfect fit’ and he said he believed enough in AOL’s management team to bet his company on them. He has so much faith in AOL that he intends to stay on at AOL for a ‘very, very long time’.
KitGuru says: Are you an avid TechCrunch reader? happy or sad it has been bought over by AOL?