By: Staff Reports
Online Syndicators Possibly Considering Merger
ScreamingMedia declined to comment on reports that it may be negotiating to buy the struggling iSyndicate, which recently laid off about 50% of its staff.
RedHerring.com and atNewYork.com wrote that ScreamingMedia may acquire its Web-syndication competitor for approximately $7 million. A ScreamingMedia spokesperson told E&P Online, “As a public company, we don’t confirm or deny rumors.”
ScreamingMedia aggregates content – including news, features, photos, video, audio, and stock quotes – from more than 3,000 publications, and delivers the material to Web site and wireless clients. A number of clients are large, well-funded corporations, that have helped ScreamingMedia weather the dot-com downturn better than other companies. ScreamingMedia, which went public last year, also licenses its infrastructure platform and tools.
ISyndicate may also be having trouble paying its content providers. One columnist contacting E&P Online said he’s still owed a first-quarter royalty check. “They used to pay within the first two weeks after a quarter ended,” said the columnist.
A spokesperson for iSyndicate could not be reached for comment.
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