AOL Outsources Sports, Health, and Real Estate
AOL CEO Tim Armstrong today announced three new content partnerships which effectively will hand over coverage for sports, health and real estate. The partners are Sporting News, Everyday Health, and Move.com for real estate. These will replace AOL’s own properties Fanhouse and AOL Health, whereas AOL Real Estate will remain.
Armstrong suggested on a conference call that these are not areas that are core to AOL. “The reason we did these deals is because we believe the partners we are working with will be better at doing their core business than we are.”
As far as cost cutting and layoffs go, some Fanhouse employees may lose their jobs, but Armstrong is hopeful that they can be absorbed by Sporting News. The number is to-be-determined and could be anywhere from “zero to dozens.”