Menu
Report: Verizon may be planning to buy AOL

Report: Verizon may be planning to buy AOL

Verizon Wireless may plant AOL's digital ad service in its mobile video services, according to Bloomberg

U.S. telecommunications provider Verizon may be in the process of acquiring digital media company AOL, the Bloomberg news service has reported.

Verizon is interested in AOL's digital advertising unit, which it could incorporate into the mobile video service offered by its Verizon Wireless subsidiary, anonymous sources familiar with the talks told Bloomberg.

As an alternative to an outright acquisition, the two companies may also be considering starting a joint venture that would bring the digital advertising capabilities to Verizon's cellular network customers, according to the report.

Verizon declined to comment, though its CEO Lowell McAdam --speaking Tuesday at the Citi Global Internet, Media and Telecommunications conference in Las Vegas -- described the possibility of the AOL acquisition as "really not accurate," a Verizon spokesman confirmed.

Verizon is investigating a wide range of potential partnerships with digital media companies, McAdam said.

While AOL came to prominence as one of the first commercial providers of consumer Internet access, the company has shifted its strategy in recent years to focus on becoming an online media company, acquiring highly trafficked Web sites such as HuffingtonPost and TechCrunch. The company draws about 250 million unique visitors to its sites every month.

AOL also maintains a legacy dial-up Internet service, which is still used by over 2 million subscribers.

Verizon Wireless, a subsidiary of Verizon Communications, provides cell phone service to over 106 million customers.

On news of the rumor, AOL stock rose Tuesday by 2.9 percent, to US $46.04, as of 11:35 a.m. U.S. Eastern Standard Time.

AOL has not immediately responded to a request for comment.

Joab Jackson covers enterprise software and general technology breaking news for The IDG News Service. Follow Joab on Twitter at @Joab_Jackson. Joab's e-mail address is Joab_Jackson@idg.com

Follow Us

Join the New Zealand Reseller News newsletter!

Error: Please check your email address.

Tags business issuesAOLverizonMergers and acquisitions

Featured

Slideshows

Kiwi channel reunites as After Hours kicks off 2017

Kiwi channel reunites as After Hours kicks off 2017

After Hours made a welcome return to the channel social calendar last night, with a bumper crowd of distributors, vendors and resellers descending on The Jefferson in Auckland to kickstart 2017. Photos by Maria Stefina.

Kiwi channel reunites as After Hours kicks off 2017
Arrow exclusively introduces Tenable Network Security to A/NZ channel

Arrow exclusively introduces Tenable Network Security to A/NZ channel

Arrow Electronics introduced Tenable Network Security to local resellers in Sydney last week, officially launching the distributor's latest security partnership across Australia and New Zealand. Representing the first direct distribution agreement locally for Tenable specifically, the deal sees Arrow deliver security solutions directly to mid-market and enterprise channel partners on both sides of the Tasman.

Arrow exclusively introduces Tenable Network Security to A/NZ channel
Examining the changing job scene in the Kiwi channel

Examining the changing job scene in the Kiwi channel

Typically, the New Year brings new opportunities for personnel within the Kiwi channel. 2017 started no differently, with a host of appointments, departures and reshuffles across vendor, distributor and reseller businesses. As a result, the job scene across New Zealand has changed - here’s a run down of who is working where in the year ahead…

Examining the changing job scene in the Kiwi channel
Show Comments