Poor Performing Tech Site CNET Up For Sale Value Drops From $1.8B To Sub $500M
Global tech site CNET is up for sale with owners CBSViacom who also own the Ten Network in Australia looking to sell the poor performing operation who significantly cut back their Australian operation and the reporting of local technology news.
CBS acquired the site for $1.8Billion back in 2008 today it’s tipped to be sold for sub $500 Million to Red Ventures.
At one stage CNET Was Australia’s leading technology website employing local journalists who reported on local events.
Two years ago the model was changed with CNET axing local journalist and those left ended up working in a global newsroom writing stories for the US operation.
CNET have also struggled to get traction with their content delivery system up against market leader Syndigo who acquired Webcollage two years ago.
Brands such as Sony and Microsoft have used CNET to spruik reviews and content inside retail SKU’s at retailers such as Best Buy in the USA, the new owners are tipped to drop this side of the business.
The deal isn’t final and talks could break down, the people said.
Red Ventures—which operates consumer websites such as Bankrate and Reviews.com have not commented.
Based in San Francisco, CNET Networks-owned sites at one stage included CNET, ZDNet, GameSpot, TV.com, MP3.com, CNET News.com, UrbanBaby, CHOW, Search.com, BNET, MySimon, and TechRepublic.
According to the Wall Street Journal ViacomCBS, formed last year through the merger of sister companies Viacom and CBS, is selling several parts of the combined company to shore up its balance sheet and use the additional cash on its video-streaming efforts.
In addition to CNET, ViacomCBS is looking to sell Simon & Schuster, seeking at least $1.2 billion for the book-publishing company.
ViacomCBS also said it plans to sell “Black Rock,” CBS’s historic Midtown Manhattan headquarters, expected by some analysts to fetch at least $800 million.
CNET, which was founded in 1992 and formerly published a print magazine, it was acquired by CBS in 2008 for $1.8 billion and folded into CBS Interactive, the digital unit that gave birth to the CBS All Access streaming service, which has become the basis for ViacomCBS’s coming “super service.” CBS Interactive also operates the websites for many of the division’s consumer-facing brands.