Lycos Acquired Wired Digital
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With the purchase, Lycos gains Wired Digital properties such as the Wired search engine HotBot, which the company said has 5 million unique visitors a month. Other Wired Digital properties include Wired News, Web Monkey, a Web developer guide, HotWired, Suck.com.
Terms of the acquisition call for Lycos to acquire Wired's outstanding capital stock for approximately $83 million in Lycos stock. Lycos will also give Wired additional stock depending on the amount of cash Wired has on hand on the closing date. The deal is subject to Wired shareholder approval, and is expected to close by the end of the year.
Lycos expects little site overlap, saying the properties aim for different audiences. According to research firm Media Metrix, only 20 percent of the visitors to Lycos and HotBot regularly check both search engines. Lycos said HotBot attracts a tech-savvy Netizens, while Lycos.com serves a broader audience.
- Lycos' Angelfire homepages and MailCity e-mail applications are now being offered to all HotBot and Wired Digital users.
- Wired News is available on the headline page of Lycos.com.
- Wired Digital's Webmonkey tutorials and resources for Web developers will be available to Tripod and Lycos.com homepage communities.
- Lycos search will link to HotBot and Wired Digital properties through top keyword searches.
"The acquisition of the industry-defining Wired Digital further fortifies our position as a premier media company," said Bob Davis, president and CEO of Lycos, Inc. "In addition to gaining quality products and an incredibly talented group of people, the pioneering spirit of Wired Digital, its high-profile brands and added reach elevate the Lycos multi-brand network strategy to a new level."
"Joining forces with Lycos gives our products an incredible opportunity to play on an even larger stage," said Beth Vanderslice, president of Wired Digital. "By moving Wired Digital into the Lycos Network, we'll be reaching a larger audience with an expanded array of quality content and services. And together, this positions us to move into the number one spot on the Web."