Digg turns down Murdoch?Social news bookmarking web start-up Digg has reportedly been in acquisition talks with several suitors - but instead opted to continue operating independently for now.

The San Francisco-based site, started by former TechTV host Kevin Rose and cohort Jay Adelson, has been talking with "a number of companies, including News Corp., according to multiple sources close to the negotiations", TechCrunch reports.

News Corp. was said to be the first to open acquisition discussions after learning that Digg was due to close a second round of funding from investors Greylock Partners this year.

Talks were later widened to other potential parents, though no offers were made as Digg was holding out for a minimum of $150m.

It is not the first time the technology news site, which lets users give thumbs up to favourite news stories and is leading the vanguard in user-organised content, has been the subject of acquisition rumours. In January, buzz had reached fever pitch that Yahoo! would claim the start-up for $30m, but the speculation was denied and later came to nothing.

Greylock was last year part of a consortium that invested $2.8m in the company. Kevin Rose has repeatedly stated Digg still has lots of growing to do, while CEO Adelson has previously said Rose is brimming with ideas for the site.

TechCrunch of course was first to publish the 'Google to buy YouTube' rumour...


Published 25 October, 2006 by Robert Andrews

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