CNN reported today that earlier this year, Disney was in talks to buy BuzzFeed…
…but that talks broke down after BuzzFeed demanded $1 billion for the acquisition…
And Disney was all like:
According to CNN, BuzzFeed’s latest fundraising round gave the company a billion-dollar valuation, which emboldened BuzzFeed during the negotiations.
Which is a price Disney wasn’t willing to pay, considering that the two companies wouldn’t have strategically fit together: Disney’s media interests mainly focus on acquiring intellectual property to then license out, build upon and milk every penny from (i.e., their acquisition of Marvel and Star Wars).
BuzzFeed, on the other hand, makes lists and reports on Serious News; and, well, Disney can’t really integrate their intellectual property into BuzzFeed, nor can they pimp out the BuzzFeed brand in a way that would create a sizeable return on a billion-dollar investment.
(Though imagine Ben Smith making an appearance on Phineas and Ferb.)
Plus, BuzzFeed’s already rolling in it: The company’s poised to bring in $120 million in revenue in 2014, double that of their 2013 moneys.
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