Shields' remit grows as AOL completes Bebo buy

by Andrew McCormick, Media Week 19-May-08, 14:27

LONDON - AOL has completed the £417m acquisition of social network Bebo, unveiling Bebo chief executive Joanna Shields as executive vice-president of AOL and president of a new People Networks division, to house operations such as instant messenger service AIM.

The new division will include Bebo and instant messenger services such as ICQ. AOL also intends to integrate widget company Goowy Media and social search service Yedda into the new arm.

Shields, having joined Bebo as president 18 months ago, will report to AOL president and chief operating officer, Ron Grant.

AOL and Bebo will also start to share content. Bebo will start offering AOL's music and entertainment services while AOL will promote Bebo's content such as online dramas KateModern and The Gap Year.

In a separate development, brands including Sony PSP, Doritos and the Royal Air Force have signed up to sponsor Bebo's The Gap Year.

Acuvue, Canon, Doritos, STA Travel, Tourism Australia and Trident have also paid to sponsor the series, which debuts on 21 May.