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Rumour: AOL considering giant reversal by selling Bebo

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January 28, 2009 |

AOL bought Bebo for $850 million in 2008. Now less than a year later, TechCrunch reports a rumour that AOL has put Bebo up for sale.

TechCrunch gives huge credit for the massive acquisition price to Bebo’s ability to pull huge advertising budgets out of undiscriminating TV ad buyers (pointing out that TV budgets are massive and unaccountable compared to online budgets). It also suggests that these budgets, and hence Bebo’s revenues, were not sustainable.

It’s a fascinating read – and the latest Update there suggests that AOL is looking for a price tag of only $200 million.

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