Time Warner's AOL Internet Divison is buying the social networking site, Bebo, for $850m cash.
Social networking sites are valuable to online advertisers as the information posted by members is very valuable to online advertisers who can then target them with those products and services which match their profiles.
Bebo is reported to have 40 million members worldwide, many of whom are within the 13-24 year old age range and thus attractive to advertisers. ComScore report that Bebo is the UK's second most popular social networking site after Facebook. In the US, Bebo is the third biggest social networking site, after MySpace and Facebook. ComScore report that Bebo is the world's ninth most popular social site.
Read full article at bbc website.