Google to buy Yelp for $500 million or more?

By on December 18, 2009, 5:35 PM
Google is reportedly in closing negotiations to buy Yelp, the local business review site founded in 2004 by two PayPal veterans. An acquisition price has not been disclosed, but sources close to the deal said it is more than $500 million.

Some sources have expressed uncertainty as to why Google would purchase Yelp since it already provides search and review systems within Google Maps, but Yelp has more (and broader) local data. The search giant could undoubtedly benefit by melding Yelp's content and audience with its own Web products, all the way down to its Google Maps Navigation Android app.

Yelp will supposedly post around $30 million in revenue for 2009, with estimates as high as $50 million for 2010. The business had a $200 million valuation during its last round of venture capital funding in early 2008, but its worth has probably increased since.

User Comments: 6

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poundsmack said:

google is buying up everything, EVERYTHING! people are afraid of MS but has anyone worried that Google is taking over? personally is scares the crap out of me. they own all of the information, they will now all of what your doing, where your located, your contacts (via android), they are comming out with an OS, i mean they are flooding every market sector they can, buying their way in.

now don't get my wrong, Google has done a lot good especially for open source, but still... i just have one of those bad feelings here....

TomSEA TomSEA, TechSpot Chancellor, said:

Yeah, it is a little unnerving how powerful and all-encompassing Google has become with their "acquisitions."

But I thought Yelp was small potatoes. I check Yelp out every once in a while for a restaurant review, but thought it was more locally driven. If Google is going to cut a check for something that basic, I think I'll start up my own website. I'll do something like review milk or kitty litter. See how long before Google wants it and cuts me a check for 1/2 billion dollars.

Puiu Puiu said:

In 2100 google bought Earth. The moon is still being negotiated.

compdata compdata, TechSpot Paladin, said:

Google really is taking over everything they can get their hands on. They are going for the vertical integration monopoly route by getting us to try to use all of their products from searching/email/mapping/etc. . . Well at least in the short term if they have good products i will use them :-)

Guest said:

if you think google is buying everything the check out this link

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