AOL (TWX): Only Important Point About Yedda Buy

As much as we think Time Warner would (and should) sell AOL in a nanosecond if a cash buyer hit the purported $20 billion bid, the company certainly isn’t counting on this happening.  How do we know?  Because AOL keeps forking over cash to buy companies.  And not just “ad-network” companies.  Content companies.  Like distributed Yahoo Answers clone Yedda. (No terms disclosed).

As AOL seems determined to invest more money in its content strategy, we look forward to hearing more about this strategy (which presumably is more sophisticated than “anything web 2.0ish that is growing quickly that we can afford.”).  As we’ve discussed, AOL has several strong stand-alone properties, as well as a whole lot of email traffic (we estimate at least 40% of pageviews). Adding more properties to this portfolio makes sense, but only if there is a clear, overarching mission.

See Also:
Why Time Warner Should Sell AOL to Yahoo
Why Barry Diller Would Buy AOL But Won’t
Some of AOL’s Properties Are Actually Strong

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