If you’ve been reading our reports during the past few quarters, you would notice that a lot of big companies, namely, Google, Yahoo and Facebook have been quietly and not so quietly buying out companies. For every massive buy out like Instagram or Nest which are valued in billions of dollars, there are many other smaller acquisitions. In fact, most of Yahoo’s acquisitions except for its massive purchase of Tumblr are for fairly modest amounts.
There are many reason why companies would go on buying sprees. The obvious reason, of course, is to gain technology. This apparently is the reason why Facebook bought Branch Media. Branch Media is a start up that builds a platform that allows people to grab content from anywhere in the web and talk about it with just about anyone and it gives them power to publish it anywhere in the world. If this sounds familiar, it should be. This has been the Holy Grail of many different conversation companies. The most famous web 1.0 company that tried to do this or at least try to do something similar to it is Third Voice. Of course, Branch media does things very differently but there are kernels of the same idea in Third Voice. Third Voice was among countless companies that got swept under when the original dot com crash happened around the turn of the century.
Be that as it may, Facebook’s acquisition of Branch Media shows that Facebook is not standing still when it comes to deepening the social media end of its platform. Facebook is not just a mere website. If you’ve been paying attention to it, you know this. Facebook is not just a static website. It truly is a technology platform. It is a social media platform. It is a content generation platform. It is a traffic platform. It’s also an authentication platform. It has so many hats and no wonder Facebook is continuing to engage the imaginations of investors the world over. With this acquisition for 15 million dollars, Branch Media’s technology should result in deeper levels of engagement for Facebook users. More importantly, it may offer some very interesting changes down the road in regards to content sharing.