- This Was Easy Money Business Insider's Nicholas Carlson argues that AOL's offer to pay cash now was a lot more attractive than an IPO. With $300 million cash in play, Huffington and her partners had the choice of taking a guaranteed payout over the risky move of having to raise money or go public. The latter, Carlson, says could have taken years, and "there would be no guarantee that the IPO market would be there when you wanted it." Even worse, Carlson says the economy could have completely tanked when and if an IPO finally came to fruition, leaving Huffington and her partners holding the bag, unable "to even cash out."
- There Was No Better Offer Dismissing Huffington's assertion that "the Huffington Post was not for sale," Business Insider's Carlson says of course it was for sale--"Huffpo has talked to NBC and Yahoo in the past 6 months. NBC, presumably, wouldn't have gotten anywhere near this price. Yahoo, apparently, was moving at a glacial pace."
- The Deal Gives HuffPo Credibility For all the content pouring through the Huffington Post's 26 channels, The Los Angeles Times' Jessica Guynn says it wasn't taken seriously in the realm of journalism because it aggregates content instead of creating it. With AOL's tech, auto and local news sites, the Huffington Post can get some credibility.
But was it a good deal? Gawker's Nick Denton quipped, "I thought they were holding out for a billion."