Webshots, Sold To American Greetings For $45 Mill
“This transaction enables CNET Networks to continue to focus on key areas of growth,” stated Neil Ashe, the CEO of CNET Networks. “We’re pleased that Webshots can become an important ingredient to American Greetings business.”
CNET Networks Inc. (NASDAQ:CNET) announced earlier today that they would be selling Webshots to American Greetings.Â CNET is a media company that serves as a benchmark for technology blogs everywhere.Â CNET will be selling off Webshots for $45 million.Â CNET acquired Webshots in 2004 for $70 million ($60 million in cash and another $10 million for company fulfillments).
Webshots was a photo sharing web site that received roughly 7.2 million visitors in September 2007 according to TechCrunch.Â However, Webshots’ 2004 press release of the acquisition stated that Webshots received 14 million visitors as of July 2004.Â If anyone knows the actual traffic stats, please feel free to comment to this blog post.
It is assumed that the reason why CNET may wanted to have taken a loss for this company is because Flickr seems to be dominating the photo-sharing market as of right now.Â CNET has also hired Stephen Colvin, a publishing executive to help determine how to manage CNET’s current subsidiaries, MP3.com, GameSpot, FilmSpot, and TV.com to compete more aggressively against other media companies.This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry