Major acquisition news this morning. Google has acquired Zagat, a company originally known for their restaurant guides but one that has been expanding into the increasingly lucrative local marketplace by offering location-based reviews and information on smartphones. Terms of the deal were not disclosed.
The deal is not a typical acquisition by Google. Zagat was founded 32 years ago and made a name for itself by offering comprehensive restaurant guides to cities. More recently, they have successfully transformed the company by redesigning their website and offering more content for free. They have also expanded their mobile offerings to smartphones in recent years, becoming rivals to companies like Yelp and Foursquare.
"I'm thrilled that Google has acquired Zagat. Moving forward, Zagat will be a cornerstone of our local offering—delighting people with their impressive array of reviews, ratings and insights, while enabling people everywhere to find extraordinary (and ordinary) experiences around the corner and around the world," VP of Local, Maps and Location Services, Marissa Mayer wrote on the official Google Blog.
"We believe that this merger will be not only in their best interests, but also in the interests of our customers thanks to the vast additional resources and reach that Google will bring to our company. Google is the first place everyone goes when looking for information; it’s the perfect home for our content," Founders Nina and Tim Zagat wrote in a note on their website.
Image Sources:
