The startup is one of the biggest acquisitions AOL has made recently
AOL Inc. is buying Gravity, a company that deals in tailoring content to a reader’s interest.AOL is paying $83 million (€60.7 million) for the company, hoping to help better target advertising to its users. The Internet giant is already part of Gravity’s network, but now it will use the technology across its properties, including the news sites such as Huffington Post.
“Our theory is the web is going from search to social to personal. Gravity is the best company in the world to do personal,” said Tim Armstrong, AOL’s top exec.
“Every day we're presented with an overwhelming amount of information to consume on our favorite websites and apps,” said Gravity CEO Amit Kapur. “It's time to move beyond searching for the best content to having the best content search for you. We believe that by combining AOL's vast brand, publisher and advertiser network with Gravity's interest graph technology, we can do just that.”
Aside from the $83 million, an additional $7.7 million (€5.63 million) of consideration will be deferred and paid over two years following closing.