AOL To Acquire Huffington Post For $315 Million

AOL

, the Internet service provider and online content provider, will acquire Huffington Post, the popular online news outlet, for $315 million, the latest move by AOL to become a dominant player in online content and to boost its traffic. Huffington Post co-founder Arianna Huffington will assume control of all AOL content. The acquisition brings AOL an additional 25 million unique visitors a day, according to the Associated Press. AOL will pay $300 million in cash for Huffington Post in an acquisition that is viewed by some as an effort to boost AOL's struggling online ad sales. AOL had just a 5.3 percent share of the U.S. display advertising revenue in 2010, down from 6.8 percent in 2009, the AP reported, citing eMarketer. Founded in 2005, the Huffington Post has grown to be one of the top-10 news, political and current events sites on the Internet. “The acquisition of The Huffington Post will create a next-generation American media company with global reach that combines content, community, and social experiences for consumers,” AOL CEO Tim Armstrong said in a statement. The deal is expected to close at the end of the first quarter or in early in the second quarter.