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Google & Simply Hired, Microsoft & CareerBuilder – A Big News Week For Job Boards
Microsoft bought a 4% stake in CareerBuilder and reached a multi-year deal through 2013 whereby CareerBuilder will pay up to $443 million for the traffic MSN directs to the job classified site. Exact details of the terms and the amount of money Microsoft invested to obtain the small ownership position were not disclosed. Unlike the recent slate of deals that job boards have struck with daily newspapers around the country to generate incremental revenue and traffic, where the newspapers got the short end of the deal, this deal is much more fair and balanced. The relationship began in 2004 and has been lucrative for both Microsoft and CareerBuilder. CareerBuilder reported that there traffic has grown from 10 million visits per month to over 21 million. MSN has added critical job classified revenue streams and content to its portal, allowing it to compete in that area with Google and Yahoo! No wonder then that both sides were interested in extending and strengthening the partnership.
In other news, the Financial Times is reporting that Simply Hired is in serious discussions to sell their business to Google. This is obviously huge news for the entire sector. News Corp invested $13.5 million in Simply Hired about a year ago with a rumored post-money valuation of $40M. The deal also raises questions about whether this is part of a larger plan to eventually acquire Monster, a replacement for the Monster deal, or has no relation at all to a possible acquisition of Monster. No matter what happens, the activity is further proof that the employment classified space continues to be one of the hottest sectors in the market and there’s no end in sight.
[tags]Microsoft, CareerBuilder, Simply Hired, Financial Times, Google, Monster, TMP Worldwide, Employment Classifieds, Advertising, Recruitment Advertising, Media, Online Job Boards, Jobs, Human Resources, Recruiting, Mergers and Acquisitions, Active Sectors In The Cpaital Markets, Deal Activity[/tags]