p2pnet - rss feed: S Korea firm buys Lycos
p2pnet.net News:- South Korea’s largest Internet portal, Daum Communication Corp, says it’s about to acquire America’s Lycos, according to the Chosum Ilbo here, which goes on:
“To do so, the company is negotiating with Spanish Terra Networks, the mother company of Lycos.”
On conditions, “Nothing concrete has been decided yet.”
The report quotes Dow Jones News as saying the Korean Net company “tentatively agreed with Terra Lycos to take over Lycos for 75 million euros” (about $90,285,420).
“The American portal industry centered on a few companies such as Google, Yahoo, and MSN, in an oligopolistic form and this greatly reduced Lycos’ market share,” the Chosum Ilbo has Dongwon Security researcher Koo Chang-keun saying, going on:
“Not only that, the environment of the American Internet industry is very different from that of Korea. Thus, even if Daum buys Lycos, it would not reap noticeable benefits.”
An Agence France Presse story here quotes Daum president Lee Jae-Woong as saying Lycos would help the Korean firm secure a foothold in the rapidly growing US Internet market:
“With the acquisition, Daum is ready to take off in its globalization initiative with Daum’s experience in the Korean market and Lycos’ global network.”
