It's Official: Amazon Invests $175 Million In Living Social

Jeff Bezos

Photo: Jeff Bezos from Steve Jurvetson via Flickr

As reported earlier today, Amazon has taken a big stake in Groupon competitor LivingSocial. The investment amounts to $175 million–larger than expected–and will give Amazon some leverage in the fast-growing daily deals market to counter Google’s expected acquisition of Groupon.LivingSocial is the clear number-two player in the space, with more than 10 million users..

The press release announcing the investment claims that LivingSocial is booking revenues of more than $1 million a day and is on target to book $500 million or more next year.

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