ITV, leading UK TV network, has won the auction to buy Friends Reunited, the website that helps trace long-lost friends, from its founders and employees for an initial $200M, as it seeks revenue streams outside its core television advertising business.
The broadcaster will make a further $95M payment in 2009 depending on whether Friends Reunited achieve performance targets.
So, TV company buys leading community web site. Convergence between traditional media and the internet just keeps going. It will be interesting to see how ITV develop the business and how they cross-promote and integrate it with their TV channels.