Social sharing site Digg sold for $500,000
In the fast paced world of social media, we regularly hear about websites springing from nowhere into popularity and then fading into obscurity several years later.
The best example might be MySpace – once the cornerstone of online connectivity, it has since been usurped by Facebook, Twitter and Google+ at the top of the social media landscape.
And now social news website Digg has become the latest website to be impacted by this trend, having just been sold to technology development firm Betaworks for the bargain price of $500,000.
Designed as a place for users to find and distribute original content, Digg was once one of the most popular social sharing services on the internet.
Since its launch in December 2004, the site has registered 350 million Diggs, 28 million story submissions and 40 million comments.
It has also spawned a range of similar websites, such as Reddit, many of which are often taken into consideration by businesses planning an effective social media strategy.
In a post on the official Digg blog, chief executive officer Matt Williams confirmed the sale and said that it was time for Digg to return "to its startup roots".
"Over the last few months, we've considered many options of where Digg could go, and frankly many of them could not live up to the reason Digg was invented in the first place – to discover the best stuff on the web," wrote Mr Williams on July 12.
"I would like to thank everyone who made Digg’s journey possible – our amazing community, our talented employees who have developed the site over the past 7 years, the many investors who believed in our vision … and countless others who have supported us along the way."
Despite Mr Williams's positivity, selling the company for such a low price must feel like a somewhat bittersweet moment.
In July 2008, rumours emerged that Google was interested in buying Digg for approximately $200 million, however the search giant backed out of the deal.
Betaworks is planning to combine Digg with News.me, a service that delivers the stories that have been shared by friends and relatives on Twitter and Facebook to your iPhone or email account.
Posted by Zak Wash