Google to buy Digg?

Sets sights on the rest of the internet

Google and Digg up a tree

There are rumblings that Digg is to be purchased by Google for the princely sum of $200 million.

Digg, the social bookmarking site, has been rumoured for some time to be wanted by Google, who has already acquired the likes of YouTube, Adscape (in-game advertising company) and DoubleClick (online advertiser) in recent years.

Back in March, Digg's CEO Jay Adelson commented on the rumours that the company was to be sold to Google, saying: "Normally our policy is to not comment about things like this, but this morning's rumours 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."

Acquisition on the cards

A report by TechCrunch, however, does seem to indicate that an acquisition is still on the cards, and could happen "in a couple of weeks".

The website reports: "The companies are now in final negotiations according to our sources, although it could be a couple of weeks before it closes.

"While the major deal points have been agreed on, the acquisition could still fall apart. Microsoft, which was previously interested in the company, may be willing to step back in at a much lower price."