Digg for Sale at $225 Million : Google & Microsoft Entering Bidding War

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Michael Arrington loves to get scoops, even when those scoops (er, rumors) don’t actually turn out to become reality, but with ValleyWag breathing down your back, I can’t really blame him.

Enter the latest Digg acquistion rumor. to hit the front page of TechCrunch (which now means every single blog in the world will report on it), Digg is seriously shopping itself to Google and Microsoft.

Could this be the Yahoo Buzz effect? Possibly.

Michael says that a very reputable source has informed him that Digg has been valuated at somewhere between $200 and $225 million (down from what they were worth last year).

Google and Microsoft are both apparently making moves to purchase the social tech and news community, and Arrington believes that the end result may be a bidding war between the two companies.

Update : Digg Rumors are False

From the Digg Blog :

Normally our policy is to not comment about things like this, but this morning’s rumors about a bidding war involving Google and Microsoft have created such a stir we feel compelled to tell you all directly that they are completely inaccurate.

Sorry to burst any drama theories, but they aren’t true. We remain focused on improving Digg and rolling out great features.

Loren Baker
Loren Baker is the Founder of SEJ, an Advisor at Alpha Brand Media and runs Foundation Digital, a digital marketing strategy & development agency.
Loren Baker
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  • http://payperclickjournal.com Pay Per Click Journal

    It will be interesting to see who wins – let’s see, Google perhaps? The Yahoo buzz effect will certainly cause many online websites to think about selling. Digg’s value certainly isn’t declining anytime soon, so let the bid war begin!

  • Calamier

    Assuming they are shopping themselves, If they do get bought (and they probably would), it would be a huge success for Digg as of current, but could either google or microsoft maintain the non-corporate atmosphere?

  • http://www.seoresults.co.za Jacques Snyman 4 SEO

    Mmmmmm….seems the Google acquisition saga is continuing unabated….no wonder Microsoft is trying to interfere….

  • http://searchengines.wordpress.com/ SearcHâ—† EngineS WEB

    Digg just posted on their blog, denying the sale or bid.

    But this is a testament to the hi tech SERPs of Google.

    Look at a snapshot of the SERPs One Hour after TechCrunch broke the rumor.

    http://www.freezepage.com/1204882125PACHDEYWGL

    Now look at it 13 hours later

    http://www.freezepage.com/1204933107DPWQORMENO

  • http://pimpmypagerank.com Stu

    People still use Digg?

    Wow!

  • http://www.myithelpdesk.com D

    Web 2.0 more money then 1.0 when will the bubble burst

  • http://www.flasharcadegamessite.com/ Simon

    I wonder if digg know the sale signs gone up?

  • http://www.gameterra.net Mario Games Online

    I don’t know when this acquisition war is going to stop between Microsoft and Google ! . I think people are still using Digg . I personally use it all the time for updating my site information .