CNN, Mashable merger: What it would mean for users
CNN is reportedly in talks to acquire social media news site Mashable, a move that would provide users with a more interactive experience, according to industry insiders.
The Time Warner-owned cable news giant is considering purchasing Mashable for $200 million, according to Reuters. The announcement could come later in the week.
Eric Yaverbaum, associate publisher for Tweeting & Business Magazine, told Metro it’s no surprise that a television network is seeking ways to increase its presence in social media.
“CNN needs this merger or they’ll be a minute behind everyone else all the time,” Yaverbaum said.
“It’s perfect for CNN to grab a larger share of digital culture, social media and technology which every television network is going to need if they expect to be relevant in a very short period of time,” he added. “If they can integrate the network with the 20 million visitors Mashable gets a month, they will stay very relevant and more.”
Mashable, which provides users with social media and internet-related news, could likely mean greater resources for CNN to reach its viewers and readers quicker and more easily during breaking news. Yaverbaum compared the potential merger to the partnership between Yahoo and ABC’s “Good Morning America.”
“It gave ‘GMA’ the ability to more easily streamline news and syndicate. As news breaks, Mashable resources would be at CNN’s disposal,” he said. “As a result of the evolution of the internet and social media, news breaks about one second after it happens.”
While the merger would likely be a lucrative move for CNN, it could mean a shake-up for management at Mashable. When AOL and the Huffington Post purchased technology blog TechCrunch, founder Michael Arrington found himself out of the job. Yaverbaum said a merger with CNN could mean the same fate for Mashable CEO and founder Pete Cashmore.
“They will say no, but I’d predict it will,” said Yaverbaum. “I’m not so sure that’s going to be as easy as CNN thinks it will be, though. And like in any business, when you make a large capital expenditure, it better make you more profitable or yes you are at risk of losing your job.”