Associated Content claims over 600 million unique visitors per month. Most of that traffic likely arrives via Google, content syndication on other sites and deep links. Significantly, this will likely remove a large partner from Google's AdSense and DoubleClick program.
Yeah, but I'd take a hard look at "average time on page" at AC, too.
Still, this is a good idea for the web and someone needs to do it well. AC started very weak and a lot of people haven't given them another change. They have improved.
Perhaps Yahoo can take it to the next level. The idea has promise, but they've got to make it happen. I know some of the executives now at Yahoo I strongly suspect are involved in this project. (Not friends, but we've sat together at meetings and tried to do business before they moved to Yahoo. Very charming, very impressive people with good, kind hearts–they always return your phone calls and answer your emails.) They look like the right people to make this happen for Yahoo.
This buy knocks a revenue stream out for goog and yahoo gains traffic.
With fewer than 40m impressions a month? This is about 0.02% of the ad impressions served by Google Content Network, and Google Content Network serves far fewer ads than they serve on their own search results pages.
Overall, combined, they will serve fewer people than they do separately, many existing users won't like the new package and will try new sources. If Yahoo can cut enough of the overhead by laying off redundant staff, parting ways with former top execs and consolidating in general it might pay off. Otherwise this will help boost any company that was competing against BOTH Yahoo and AC.
Yahoo is now a bigger competitor BUT the overall competition has decreased, other companies will benefit most.
A little surprised by this aquisition... maybe Yahoo! has big plans that will succeed that I can't see right now. They (AC) show 80 million ad impressions/month according to their media kit (as of Dec. '09). $90 million, a high price to pay, especially if their #1 traffic source decides to cut them off one day. I haven't read a single article (maybe it's just what I search for and visit) that I've found helpful on AC. Also, AC appears to be using Quantcast measurements on their pages, and it looks like those stats are much closer(reliable?)to their media kit stats vs. Alexa or Compete stats. (On most days, I pay little attention to Alexa.)
I know someone who used to work for Yahoo!, years ago and they clearly stated to me, months after having left the company, "working there taught me how not to run a company". Kudos to the AC owners, but that quote re-entered my mind right away when I read that this deal happened -- $90 million is a lot of money -- no matter what Yahoo!'s account balance says. All eyes on Yahoo!, indeed, Sgt_Kickaxe, including Google's eyes...
@walkman - "(I'm not kidding)" - Can we report Yahoo! for paid links now? ;)