HotOrNot sells for $20 million
Written by admin on February 13th, 2008 in Gadgets.
Based on recent reports, HotOrNot is about to be purchased for $20 million dollars by investors connected with Avid Life Media. Avid Life is reportedly interested in setting up a larger HotOrNot media company and might be in the buying mode for a few other similar properties.
HotOrNot was originally founded back in 2000 by James Hong and Jim Young and has consistently generated enough traffic to attract interest. HotOrNot makes most of it’s money from advertising and premiums charged to their user base of nearly 5 million. Their annual revenue is estimated to be around $5 million, with $2 million in profit. Hong and Young will no longer be operating the business on a day to day basis and seem pretty happy with that.
“We’ve been working on HotOrNot for seven years now,” said Hong, adding “It’s time to break up with this girlfriend.”
Via [Tech Crunch]
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Tags: electronic toys, wireless, game, TV
