Once again, the Law of Noise has proven itself. Ask Jeeves certainly had the promotional volume turned up to "11" in recent months -- and that's loud when you have 4% market share. When that happens, I always suspect that either someone's selling stock, or someone's thinking of buying the whole company.
I wondered if that someone was AOL. Nope.
Today, Barry Diller's Interactive Corp. announced they're acquring Ask Jeeves for about $1.85 billion.
Along with tapping into the growth of search advertising, IAC thinks it can increase traffic to the Jeeves site by putting a search box on all of its other properties. Maybe so.
Posted by Andrew Goodman
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