CBS Marries CNET

In an alphabet soup marriage, CBS has decided to acquire Internet news purveyor CNET, in a deal worth about 1.75 Billion dollars according to Crain's New York Business. It's another example of old media looking for quick ways to expand further into the new media space, and it could make a lot of sense. Certainly, it looks like a good deal for CNET, as CBS will be paying $11.50 a share - up from the closing price yesterday of $7.95. Nice work if you can get it.

There's nothing hostile about the takeover; CNET is recommending approval to its shareholders, while CBS chief Les Moonves is praising CNET's virtues as "a profitable, growing, well-managed Internet company ." On the surface, it's probably a good move for both companies. We'll see what kind of reaction it draws.