Techcrunch is reporting that last week’s rumors about Google being close to acquiring RSS feed management and advertising firm Feedburner have been confirmed. The purchase price is in the ball park of the rumored $100 million, in a mostly cash deal that locks the founders in for a couple of years.
This is a great deal for both Feedburner and Google. For Google it gives them access to over 720,000 feeds including, 111,000 podcast or videocast feeds, many of which can now be added into the Adsense network. It also gives Google access to a wealth of data and information about how people consume blogs and information across the greater blogosphere.
For Feedburner, which has raised around $10 million from Mobius Venture Capital, Portage Venture Partners, Sutter Hill Ventures, Draper Fisher Jurvetson and Union Square Ventures, it gives them access to Google’s muscle and resources (not to mention a nice exit).
The price itself seems like a steal to me. Feedburner’s 422,000 publishers may not seem like a lot for a $100 million investment, but that 422,000 publishers actually translates into access to many millions of readers that Google can push advertising to.