Sign in Subscribe
Internet services

Amazon.com Acquires PlanetAll, a Web-Based Contact Management Service

Strategic Insights

— 1 min read

Amazon.com, the leading online retailer of books and CDs, has acquired PlanetAll, a Web-based contact management service, for $5 million. In conjunction with the purchase, Amazon.com will assume 100 percent ownership of PlanetAll, which has a user base of over 1.5 million people. The acquisition is a strategic move by Amazon.com to expand its online services and leverage PlanetAll's innovative approach to contact management.

Key Takeaways:

  • The acquisition of PlanetAll marks Amazon.com's first foray into the contact management service market.
  • PlanetAll's user base of over 1.5 million people will be integrated into Amazon.com's existing customer base.
  • The acquisition is valued at $5 million, with Amazon.com assuming 100 percent ownership of PlanetAll.
  • PlanetAll's innovative approach to contact management, which eliminates the need for manual revisions of individual phone numbers and addresses, will be leveraged by Amazon.com to enhance its online services.
  • The acquisition is expected to introduce millions more users to discover the value and convenience of PlanetAll's services.
  • CMG @Ventures II, a venture capital subsidiary of CMG Information Services, Inc., will receive 225,000 shares of restricted Amazon.com stock as part of the transaction.
  • PlanetAll's service will be operated as a wholly owned subsidiary of Amazon.com, with its headquarters located in Cambridge, Massachusetts.

Statistics:

  • PlanetAll has a user base of over 1.5 million people.
  • The acquisition is valued at $5 million.
  • 225,000 shares of restricted Amazon.com stock will be received by CMG @Ventures II as part of the transaction.
  • PlanetAll's service will be integrated into Amazon.com's existing online platform.
  • Over 1.5 million people currently use PlanetAll's free and private service to securely manage their own contacts and access a vast network of potential contacts.

Sources:

  • Business Wire, August 4, 1998
  • Amazon.com, Inc.
  • CMG Information Services, Inc.
  • PlanetAll (www.planetall.com)

Read more