Yahoo keeps going further and further down the acquisition path lately – or at least generating rumors that they are. The newest rumor is that they are set to purchase Digg.com for nearly $30 million. Since the rumor first appeared there have been a number of updates that dispute such an acquisition, but it’s interesting to consider nonetheless. From Kevin Burton’s Feed Blog:
Update 2: The Digg blog officially denies the acquisition. Jeremy was smart enough to have “no comment“… Next time there’s a Digg acquisition rumor you’ll know you’re on to something 🙂
I wouldn’t be surprised if it turns out to be true. Digg would be an excellent addition to the growing stable of apps under the Yahoo umbrella, including del.icio.us and Flickr among others. The other factor to consider in this rumor, which Kevin does a good job of pointing out, is that Digg has insane amounts of traffic, and is going to need either more investment or a suitor with lots of resources to keep pace.
Read: Kevin Burton
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