Betaworks just acquired the assets of social news site Digg.com

Written by | Careers, Internet

Betaworks the company behind bit.ly, findings, bloglovin, news.me and socialflow, announced on their blog that they just acquired assets of Digg.com for an undisclosed amount. But Wall Street Journal is reporting that diggs price tag is just $500k, which is a far cry from their last reported value at around $35 million and even though digg.com is on a decline they still have 16 million monthly unique visitors.

TechCrunch is reporting that there’s a possibility that there is an equity portion to the deal, which explains the $500k price tag.

Betaworks said that they’ll integrate Digg with their News.Me service and will turn Digg back into a startup. Low budget, small team, fast cycles. Once the acquisition is complete Betaworks CEO John Borthwick will become Diggs new CEO and the remaining Digg employee will be under news.me management. I guess they should have taken $200 million offer by Google in 2008.

Here’s betaworks announcement of the acquisition:

digg

betaworks has acquired the core assets of Digg. Digg is one of the great internet brands, and it has meant a great deal to millions of users over the years. It was a pioneer in community-driven news.

We are turning Digg back into a startup. Low budget, small team, fast cycles.

How? We have spent the last 18 months building News.me as a mobile-first social news experience. The News.me team will take Digg back to its essence: the best place to find, read and share the stories the internet is talking about. Right now.

We are going to build Digg for 2012. More to come…

Source: TechCrunch | AllThingsD

Last modified: July 13, 2012

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