Social News Website Digg Sold for $500,000, Online Marketing Company, fishbat, Inc., Analyzes the Buyout
Social news website Digg confirmed in a blog post that they are being bought out by Betaworks. The estimated value of the deal is $500,000.
Bohemia, NY (PRWEB) July 16, 2012
On Thursday, July 12, 2012, social news website Digg confirmed in a blog post that they are being bought out by Betaworks. The estimated value of the deal is $500,000.
Digg, a site where users can discover and share content from anywhere on the Internet, was bought by Betaworks, a technology incubator located in New York, for a reported $500,000. None of Digg’s current employees will be joining Betaworks, whose CEO, John Borthwick, will serves as Digg’s CEO as well. This marks the end of a tumultuous couple of years for Digg, which was once courted by big-name investors and tech companies for Google. At the heights of its popularity, negotiations for deals were reported to be within the $100-$200 million range.
Founded in 2004, Digg quickly became one of the first sites to incorporate social aspects, like crowdsourcing content and implementing a voting feature to determine the order of content featured on the site. Design issues and the growing popularity of Facebook and Twitter as platforms for sharing content took its toll on Digg’s popularity. A site redesign in the summer of 2010 received a tremendous amount of backlash from users, and Digg was never able to recover. Its demise also corresponded with the ascension of Reddit, a social news site with similar a concept.
“Digg and Myspace serve as cautionary tales for hot startups,” says Justin Maas, social media account manager at fishbat. “Once leaders in their respective areas, there were unable to adapt to the changing conditions.” Digg will be incorporated into Betaworks’ company News.me, which allows users to receive stories shared by their Facebook and Twitter contacts.
fishbat, Inc. is a full service online marketing firm. Through social media management, search engine optimization (SEO), web design, and public relations, fishbat strives as a marketing firm to raise awareness about your brand and strengthen your corporate image.
For the original version on PRWeb visit: http://www.prweb.com/releases/prweb2012/7/prweb9699488.htm