In a marriage between old media and new, CBS has agreed to buy online news site CNET Networks for $1.8 billion in a deal that should end the recent struggle to control the board of CNET.
The move comes after CNET’s management had come under attack by shareholders for not doing enough to increase its market value. CNET is one of the earliest movers to embrace an online only format, and is one of the largest online publishers. Hedge fund firm Jana Partners had attempted a hostile board takeover of the company, and CNET recently laid off 10 percent of its work force.
The purchase price is $11.50 a share, a 44 percent premium over Wednesday’s closing price of $7.95 a share. CNET stock rose to $11.41 a share after the deal was announced. CBS will be able to make the leap to the Internet with the CNET deal. The combined companies will have 54 million unique users per month, and about 200 million users worldwide, the companies said.
However, I don’t know if it’s really going to be enough to make the companies competitive in the age of the Internet. As venture capitalist Fred Wilson wrote in a Twitter note, it seems to be about “yesterday” and not tomorrow. CNET has a lot of Web 1.0 properties - Internet sites offering little or no user interaction — in an age of Web 2.0. The combined company will have to struggle with everyone else to get traffic.
The other argument, however, is that in the age of the Web, size counts. The larger you are as a publisher, the more you can strike better deals with advertisers: You offer brands a one-stop place to reach more people on multiple channels. With CBS, this means advertisers can reach CNET’s online users, but also CBS’s TV viewers, mobile users, radio listeners and so on.
The deal is expected to close in the third quarter. CNET’s board has unanimously approved the deal, the company said. San Francisco-based CNET’s sites CNET, ZDNet, GameSpot, TV.com, MP3.com, CNET News.com, UrbanBaby, CHOW, Search.com, BNET, MySimon, and TechRepublic. CNET had $406 million in revenues in 2007.
CBS, meanwhile, has properties that include broadcast TV (CBS, the CW), cable TV (Showtime, CBS College Sports Network), local TV, radio, TV production and syndication, advertising and publishing, interactive media (CBS Interactive), music, licensing and merchandising, and movies. CBS’ Internet sites include CBS.com, CBSSports.com, CBS CollegeSports.com, MaxPreps.com, CBSNews.com, last.fm, Wallstrip, MobLogic and other TV and radio sites.
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cnet networks | web888net said:
[...] TV.com, CNET News, UrbanBaby, BNET, …CenterNetworks - - http://www.centernetworks.com|||CBS to buy CNET Networks for $1.8 billionIn a bridge between old media and new, CBS has agreed to buy CNET Networks for $1.8 billion in a [...]
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cnet networks | Immediate important news said:
[...] lead its interactive unit in late 2006,” …TV Decoder - http://tvdecoder.blogs.nytimes.com|||CBS to buy CNET Networks for $1.8 billionIn a bridge between old media and new, CBS has agreed to buy CNET Networks for $1.8 billion in a [...]
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cnet networks | Lasts information said:
[...] CBS to buy CNET Networks for $1.8 billionIn a bridge between old media and new, CBS has agreed to buy CNET Networks for $1.8 billion in a deal that should end the recent struggle to control the board of CNET. The purchase price is $11.50 a share, a 44 percent premium over …VentureBeat - http://venturebeat.com [...]
8:49 am
cnet networks | Hottags said:
[...] CBS to buy CNET Networks for $1.8 billionIn a bridge between old media and new, CBS has agreed to buy CNET Networks for $1.8 billion in a deal that should end the recent struggle to control the board of CNET. The purchase price is $11.50 a share, a 44 percent premium over …VentureBeat - http://venturebeat.com [...]
9:01 am
cnet stock | Immediate important news said:
[...] CBS to buy CNET Networks for $1.8 billionCNET stock rose to $11.41 a share after the deal was announced. CBS will be able to make the leap to the Internet with the CNET deal. The combined companies will have 54 million unique users per month, and about 200 million users …VentureBeat - http://venturebeat.com|||Stock Market News: CBS (CBS) Buys CNET (CNET)In a move that CBS (CBS) hopes will help it expand its audience (and revenue, of course) the venerable media institution has announced that it is acquiring CNET (CNET). Mashable reports on what CBS says about the deal: Leslie Moonves, …Money & Investing - Banks.com - http://www.banks.com/blogs/investing|||CBS to Buy Internet Tech Heavyweight CNET4 hours ago CBS is buying Internet company CNET for $1.8 billion, or $11.50 a share, according to an announcement from CBS Chief Executive Les Moonves. Who Owns CNET Stock?Untitled - http://cnbc.com|||Breaking: CNET up 40% on CBS NewsCNET publishes tech news, commentary, syndicated product reviews and more across it's websites, which include CNET.com, ZDNet.com, Gamespot.com, Search.com, TechRepublic.com, mp3.com and others. CNET stock rallied on the news (up over …SEO and Tech Daily - http://anzman.blogspot.com/|||CNET Acquired for $1.5B; Offers 45% Premium to Keep Dissenting …Had CBS offered a single digit premium for CNET’s stock, Jana et al would have likely complained it wasn’t enough, tried to fight the acquisition, and perhaps confused investors with talk of the need for alternative bids. …Untitled - http://www.marketingpilgrim.com|||NEWS: CBS-CNET: CBS Will Own TV.com, Radio.com, MP3.com and News.com… CNET) Networks for $1.8 billion comes amid a lot of change and drama at both companies from CNET's draw-out proxy fight with the consortium led by hedge fund Jana Partners to CBS with its slipping stock price and interactive push. …New Economics of Advertising - http://adecon101.blogspot.com/|||CBS to buy CNET NetworksThe deal is valued at 1.8 billion dollars, and represents a 32% premium over the closing stock price on Wednesday. I don’t know what this means for CNET TV or Loaded, but it is certainly a good thing for CNET as a brand. …wilson g. tang - http://www.wilsontang.com|||CBS Buying CNet For $1.8 Billion DollarsThe price of $11.50 per share for CNet represents a massive premium of 45 percent over CNet’s closing stock price on Wednesday, and appears to get CNet out of a nasty battle with one of its largest shareholders, which had been agitating …The Geek Media - http://www.thegeekmedia.com|||CBS To Acquire CNET For $1.8 BillionAnd that symmetry is apparently worth about $1.8 billion, because that’s what CBS just agreed to pay for CNET. The deals values CNET at $11.50/share, and puts a 45% premium on stock from their closing price yesterday. …Untitled - http://www.techcrunch.com [...]
9:03 am
cnet stock | Found love here said:
[...] CBS to buy CNET Networks for $1.8 billionCNET stock rose to $11.41 a share after the deal was announced. CBS will be able to make the leap to the Internet with the CNET deal. The combined companies will have 54 million unique users per month, and about 200 million users …VentureBeat - http://venturebeat.com|||Stock Market News: CBS (CBS) Buys CNET (CNET)In a move that CBS (CBS) hopes will help it expand its audience (and revenue, of course) the venerable media institution has announced that it is acquiring CNET (CNET). Mashable reports on what CBS says about the deal: Leslie Moonves, …Money & Investing - Banks.com - http://www.banks.com/blogs/investing|||CBS to Buy Internet Tech Heavyweight CNET4 hours ago CBS is buying Internet company CNET for $1.8 billion, or $11.50 a share, according to an announcement from CBS Chief Executive Les Moonves. Who Owns CNET Stock?CNBC Top News and Analysis - http://cnbc.com|||Breaking: CNET up 40% on CBS NewsCNET publishes tech news, commentary, syndicated product reviews and more across it's websites, which include CNET.com, ZDNet.com, Gamespot.com, Search.com, TechRepublic.com, mp3.com and others. CNET stock rallied on the news (up over …SEO and Tech Daily - http://anzman.blogspot.com/|||CNET Acquired for $1.5B; Offers 45% Premium to Keep Dissenting …Had CBS offered a single digit premium for CNET’s stock, Jana et al would have likely complained it wasn’t enough, tried to fight the acquisition, and perhaps confused investors with talk of the need for alternative bids. …Marketing Pilgrim - http://www.marketingpilgrim.com|||NEWS: CBS-CNET: CBS Will Own TV.com, Radio.com, MP3.com and News.com… CNET) Networks for $1.8 billion comes amid a lot of change and drama at both companies from CNET's draw-out proxy fight with the consortium led by hedge fund Jana Partners to CBS with its slipping stock price and interactive push. …New Economics of Advertising - http://adecon101.blogspot.com/|||CBS to buy CNET NetworksThe deal is valued at 1.8 billion dollars, and represents a 32% premium over the closing stock price on Wednesday. I don’t know what this means for CNET TV or Loaded, but it is certainly a good thing for CNET as a brand. …wilson g. tang - http://www.wilsontang.com|||CBS Buying CNet For $1.8 Billion DollarsThe price of $11.50 per share for CNet represents a massive premium of 45 percent over CNet’s closing stock price on Wednesday, and appears to get CNet out of a nasty battle with one of its largest shareholders, which had been agitating …The Geek Media - http://www.thegeekmedia.com|||CBS To Acquire CNET For $1.8 BillionAnd that symmetry is apparently worth about $1.8 billion, because that’s what CBS just agreed to pay for CNET. The deals values CNET at $11.50/share, and puts a 45% premium on stock from their closing price yesterday. …TechCrunch - http://www.techcrunch.com [...]
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cnet stock | shelley said:
[...] CBS to buy CNET Networks for $1.8 billionCNET stock rose to $11.41 a share after the deal was announced. CBS will be able to make the leap to the Internet with the CNET deal. The combined companies will have 54 million unique users per month, and about 200 million users …VentureBeat - http://venturebeat.com|||Stock Market News: CBS (CBS) Buys CNET (CNET)In a move that CBS (CBS) hopes will help it expand its audience (and revenue, of course) the venerable media institution has announced that it is acquiring CNET (CNET). Mashable reports on what CBS says about the deal: Leslie Moonves, …Money & Investing - Banks.com - http://www.banks.com/blogs/investing|||CBS to Buy Internet Tech Heavyweight CNET4 hours ago CBS is buying Internet company CNET for $1.8 billion, or $11.50 a share, according to an announcement from CBS Chief Executive Les Moonves. Who Owns CNET Stock?Untitled - http://cnbc.com|||Breaking: CNET up 40% on CBS NewsCNET publishes tech news, commentary, syndicated product reviews and more across it's websites, which include CNET.com, ZDNet.com, Gamespot.com, Search.com, TechRepublic.com, mp3.com and others. CNET stock rallied on the news (up over …SEO and Tech Daily - http://anzman.blogspot.com/|||CNET Acquired for $1.5B; Offers 45% Premium to Keep Dissenting …Had CBS offered a single digit premium for CNET’s stock, Jana et al would have likely complained it wasn’t enough, tried to fight the acquisition, and perhaps confused investors with talk of the need for alternative bids. …Untitled - http://www.marketingpilgrim.com|||NEWS: CBS-CNET: CBS Will Own TV.com, Radio.com, MP3.com and News.com… CNET) Networks for $1.8 billion comes amid a lot of change and drama at both companies from CNET's draw-out proxy fight with the consortium led by hedge fund Jana Partners to CBS with its slipping stock price and interactive push. …New Economics of Advertising - http://adecon101.blogspot.com/|||CBS to buy CNET NetworksThe deal is valued at 1.8 billion dollars, and represents a 32% premium over the closing stock price on Wednesday. I don’t know what this means for CNET TV or Loaded, but it is certainly a good thing for CNET as a brand. …wilson g. tang - http://www.wilsontang.com|||CBS Buying CNet For $1.8 Billion DollarsThe price of $11.50 per share for CNet represents a massive premium of 45 percent over CNet’s closing stock price on Wednesday, and appears to get CNet out of a nasty battle with one of its largest shareholders, which had been agitating …The Geek Media - http://www.thegeekmedia.com|||CBS To Acquire CNET For $1.8 BillionAnd that symmetry is apparently worth about $1.8 billion, because that’s what CBS just agreed to pay for CNET. The deals values CNET at $11.50/share, and puts a 45% premium on stock from their closing price yesterday. …Untitled - http://www.techcrunch.com cnet networks carl icahn mesa power link:milliondollar.cnbc.com efuel100 microfueler ron baron market insider blog smart car crash test david falk smart fortwo micro car This entry was written by admin and posted on May 15, 2008 at 12:07 pm and filed under eight belles. Bookmark the permalink. Follow any comments here with the RSS feed for this post. Post a comment or leave a trackback: Trackback URL. [...]
9:24 am
cnet stock | Lasts information said:
[...] CBS to buy CNET Networks for $1.8 billionCNET stock rose to $11.41 a share after the deal was announced. CBS will be able to make the leap to the Internet with the CNET deal. The combined companies will have 54 million unique users per month, and about 200 million users …VentureBeat - http://venturebeat.com [...]
9:24 am
cnet stock | Hottags said:
[...] stock pay per click advertising CBS to buy CNET Networks for $1.8 billionCNET stock rose to $11.41 a share after the deal was announced. CBS will be able to make the leap to [...]
11:20 am
cnet stock | Garden Ask said:
[...] CBS to buy CNET Networks for $1.8 billion1 hour ago by Dean Takahashi CNET stock rose to $11.41 a share after the deal was announced. CBS will be able to make the leap to the Internet with the CNET deal. The combined companies will have 54 million unique users per month, and about 200 million users … - [...]
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cnet networks | Wonderful Article said:
[...] TV.com, CNET News, UrbanBaby, BNET, …CenterNetworks - - http://www.centernetworks.com|||CBS to buy CNET Networks for $1.8 billionIn a bridge between old media and new, CBS has agreed to buy CNET Networks for $1.8 billion in a [...]
4:19 am
cnet stock | Wonderful Article said:
[...] CBS to buy CNET Networks for $1.8 billionCNET stock rose to $11.41 a share after the deal was announced. CBS will be able to make the leap to the Internet with the CNET deal. The combined companies will have 54 million unique users per month, and about 200 million users …VentureBeat - http://venturebeat.com|||Stock Market News: CBS (CBS) Buys CNET (CNET)In a move that CBS (CBS) hopes will help it expand its audience (and revenue, of course) the venerable media institution has announced that it is acquiring CNET (CNET). Mashable reports on what CBS says about the deal: Leslie Moonves, …Money & Investing - Banks.com - http://www.banks.com/blogs/investing|||CBS to Buy Internet Tech Heavyweight CNET4 hours ago CBS is buying Internet company CNET for $1.8 billion, or $11.50 a share, according to an announcement from CBS Chief Executive Les Moonves. Who Owns CNET Stock?Untitled - http://cnbc.com|||Breaking: CNET up 40% on CBS NewsCNET publishes tech news, commentary, syndicated product reviews and more across it's websites, which include CNET.com, ZDNet.com, Gamespot.com, Search.com, TechRepublic.com, mp3.com and others. CNET stock rallied on the news (up over …SEO and Tech Daily - http://anzman.blogspot.com/|||CNET Acquired for $1.5B; Offers 45% Premium to Keep Dissenting …Had CBS offered a single digit premium for CNET’s stock, Jana et al would have likely complained it wasn’t enough, tried to fight the acquisition, and perhaps confused investors with talk of the need for alternative bids. …Untitled - http://www.marketingpilgrim.com|||NEWS: CBS-CNET: CBS Will Own TV.com, Radio.com, MP3.com and News.com… CNET) Networks for $1.8 billion comes amid a lot of change and drama at both companies from CNET's draw-out proxy fight with the consortium led by hedge fund Jana Partners to CBS with its slipping stock price and interactive push. …New Economics of Advertising - http://adecon101.blogspot.com/|||CBS to buy CNET NetworksThe deal is valued at 1.8 billion dollars, and represents a 32% premium over the closing stock price on Wednesday. I don’t know what this means for CNET TV or Loaded, but it is certainly a good thing for CNET as a brand. …wilson g. tang - http://www.wilsontang.com|||CBS Buying CNet For $1.8 Billion DollarsThe price of $11.50 per share for CNet represents a massive premium of 45 percent over CNet’s closing stock price on Wednesday, and appears to get CNet out of a nasty battle with one of its largest shareholders, which had been agitating …The Geek Media - http://www.thegeekmedia.com|||CBS To Acquire CNET For $1.8 BillionAnd that symmetry is apparently worth about $1.8 billion, because that’s what CBS just agreed to pay for CNET. The deals values CNET at $11.50/share, and puts a 45% premium on stock from their closing price yesterday. …Untitled - http://www.techcrunch.com cnet networks carl icahn clinton wins indiana jon tester and crew cut hercules beetle mesa power link:milliondollar.cnbc.com market insider blog market insider blog david falk Tags: 5b, Cbs, Cbs News, Chief Executive, Cnbc, Cnet Networks, Cnet News, Cnet Stock, Combined Companies, Consortium, Hedge Fund, Internet Company, Jana Partners, Leap, Les Moonves, Leslie Moonves, Media Institution, Proxy Fight, Stock Market News, Stock Price hot bolg article [...]
4:45 pm
Watch out folks, CBS Interactive is hungry for more » VentureBeat said:
[...] CBS Interactive mergers and acquisitions head Mike Marquez following the company’s $1.8 billion purchase of CNET. Marquez notes that this deal will open up the door to even more acquisitions as the company looks [...]