AOL Acquires Two Local Services, Patch and Going

Acquisitions Add to AOL's Leading Network of Local Services with a Community-Specific News and Information Platform and a Local Event Platform

NEW YORK, NY – June 11, 2009 – AOL today announced two acquisitions in the local space: Patch Media Corporation, http://www.patch.com, a local news and information platform aimed at serving local towns and communities and Going, Inc., http://www.going.com, a local platform for people to discover and share information about things to do in a number of leading cities across the country. Both Patch and Going offer local experiences, content and self-service applications for consumers and advertisers.

"Local remains one of the most disaggregated experiences on the Web today -- there's a lot of information out there but simply no way for consumers to find it quickly and easily," said Tim Armstrong, AOL's Chairman and CEO. "It's a space that's prime for innovation and an area where AOL has a significant audience and a valuable mapping service in MapQuest. Going forward, local will be a core area of focus and investment for AOL. The acquisitions of Patch and Going will help us build out our local network further with excellent local services that enable people to stay better informed about what's going on in their neighborhood."

The acquisitions extend AOL's network of local services, the largest online local network,* reaching more than 54 million total unique visitors per month.** Both acquisitions also leverage a consumer and marketplace trend toward greater consumption of news and information online.

  • A recent survey by the Pew Research Center for the People & the Press found that more people now say they get most of their news from online sources than from traditional newspapers (40% vs. 35%).***
  • In addition, local searches grew 58% in 2008 year over year, while overall searches climbed just 21%, according to research conducted by the Yellow Pages Association in March 2009.
  • Local advertising (online and offline) represents an approximately $103 billion market (approximately 39% of total U.S. ad spending), according to Borrell Associates in 2009.


Founded in December 2007 and headquartered in New York, Patch combines localized, professional journalism with community contribution and a platform that puts all town assets online – in effect, digitizing the community. Patch, which expects to be available in a dozen communities by the end of the year, currently has "Patches" in five communities with four more in development.

"We are excited to join the AOL family," said Jon Brod, CEO of Patch. "AOL's substantial network will help us extend the reach of Patch into more and more communities. And Patch, as part of AOL's local strategy, will create new opportunities for AOL to delight consumers and provide marketers access to highly targeted and deeply engaged audiences."

Launched in September 2006 and headquartered in Boston, Going is one of the leading local communities for 20-somethings looking for things to do in cities across the country. Going is available in 30 leading U.S. cities, including New York, Los Angeles, Chicago, Miami and Boston, with several more planned this year. Going also provides local promoters, event organizers and venues a fully automated, self-service RSVP, ticketing and advertising engine to maximize the attendance and value of their events.

"Going allows young people in leading cities to discover upcoming events, parties and new hot spots - and most importantly connect with others who share a similar lifestyle. By joining with AOL, we have the opportunity to greatly expand the reach of our platform to more cities both in the U.S. and around the world," said Evan Schumacher, Going's CEO.

"AOL has a legacy of connecting people to the content, community and services they care most about," said Armstrong. "Patch and Going, combined with our existing network, will enable the company that got America online, to connect consumers around the globe to their communities online."

* April 2009 U.S. comScore Media Metrix; Local Networks category is a custom built category by AOL.
** Custom AOL-defined Local Networks report, based on comScore U.S. Media Metrix Audience Duplication report (April 2009).
*** Pew Research Center for the People and the Press, "Internet Overtakes Newspapers as News Outlet," December 2008.


About AOL

AOL is a global Web services company that operates some of the most popular Web destinations, offers a comprehensive suite of free software and services, runs one of the largest Internet access businesses in the U.S., and provides a full set of advertising solutions. A majority-owned subsidiary of Time Warner Inc., AOL and its subsidiaries have operations in the U.S., Europe, Canada and Asia. Learn more at AOL.com.

Contact:
Chris Savarese
AOL
212-206-4589
Chris.Savarese@corp.aol.com

  1. HuffPost Live is an award-winning live streaming network. Every discussion is live and unfiltered. Thousands of people from around the globe join HuffPost Live's programming, five days a week, available online, on mobile and on-demand.
     
  2. 600+
    non-profits supported by AOL through pro bono media and employee volunteering programs
     
  3. Cannes Welcome Reception
     
  4. 18%
    Global advertising revenue growth YoY
     
  5. Marketplace

    100+
    Premium Publishers
     
  6. 1
    HuffPost Green ComScore Rank
     
  7. AOL video viewers have increased

    6x
    year over year
     
  8. Programmatic Upfront
     
  9. 510%
    YoY growth for HuffPost Live video views
     
  10. AOLer Samantha Leibovitz says

    I love coming to work every day and being surrounded by such creative, passionate people.
     
 
  1. Make a Difference module on AOL.com

    55B
    Free impressions driven to causes
     
  2. AOL Digital NewFront
     
  3. Adap.tv

    90%
    of Ad Age 100 Advertisers do business on Adap.tv
     
  4. 70%
    increase in Premium Formats
     
  5. Adap.tv

    10B
    Global video impressions delivered every month
     
  6. We award Blue Monsters to our top employees
     
  7. StyleList

    1
    ComScore Rank (Style & Beauty)
     
  8. AOLer Chris Nims says

    I've stayed at AOL for as long as I have because I love what I do, and I love the people with whom I do it.
     
  9. 2x
    Consumers are twice as likely to interact with ads that feature real-time content
     
  10. AOL On offers the most relevant video on every topic sifted, sorted and served to you.
     
 
  1. Explore the stories of trailblazing women and inspire your own through MAKERS.com.
     
  2. 94M
    Monthly views globally on HuffPost
     
  3. Arianna Huffington at AdWeek
     
  4. 300M
    Comments on The Huffington Post
     
  5. Advertising.com

    3B+
    Global impressions per day
     
  6. 25+
    AOL’s proprietary Loft ad format averages more than a 25-second expansion time
     
  7. Anytime, Anywhere Tech Support
     
  8. 47%
    increase in native ad revenue
     
  9. Games.com

    1,500
    Free online games
     
  10. AOLer Ben Hills says

    I like creating something brand new with a great group of people to help drive it forward, including leaders who have the courage and vision to help us do that.