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BizReport : Internet : September 21, 2006
Yahoo Buying, YouTube Selling?
The rumors are flying again about the possible sales of Facebook, popular college networking site, and YouTube, an online video repository.
According to the Wall Street Journal, Facebook is in serious talks with Yahoo. The social networking site has been expanding from it’s traditional college base for months. Earlier this year, Viacom is rumored to have offered $750 million for the online portal. People familiar with the matter say if the sale goes through it could reach $1 billion. Facebook founders reportedly wanted $2 billion from the sale.
Online video portal YouTube could also be in sales talks. According to the New York Post, owners of the site want $1.5 billion for the slews of homemade video clips stored on the site. The Post reports that number is high above what many executives are willing to pay.
One “senior industry source” told the Post, “If they were willing to take $200 million to $300 million, I would buy it tomorrow.”
On the other hand, YouTube has said that it would prefer to remain independent. Still, speculation still rises about what media outlet or Internet company might buy them out.
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