Google and Yelp are in advanced acquisition negotiations, we've confirmed from multiple sources. And while the deal isn't done, we've heard that it's very likely to close. The price is supposedly at least $500 million.Some consultants have advocated the use of "free" services such as yelp to add website content. Nothing is free and it is important to understand how your strategy aligns with such "free" sites, if at all.Yelp was founded in 2004 as a way to let users leave reviews on local businesses. Comscore puts worldwide traffic at nearly 9 million monthly unique visitors, and it has been growing fast - the company says it's real numbers are more like 25 million monthly uniques.
Yelp has whispered that 2009 revenues will be around $30 million and are expecting $50 million or so in 2010.
Yelp last raised venture capital in early 2008 from DAG at a $200 million pre-money valuation, we've heard. They've raised a total of $31 million over four venture rounds.
On the odds of the deal happening - one source says its 80% likely. Not signed, sealed and delivered, but past the term sheet stage.
Related: The Profit & Peril of Mashups.
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