Betaworks Is Buying Digg For $500,000

Betaworks is buying social news site Digg for $500,000, the Wall Street Journal reports.

Betaworks is acquiring the Digg brand, website, and technology, but not its employees. Digg will be folded into News.me, Betaworks' social news aggregator.

This is not the outcome people expected for Digg. In 2008, Google was reportedly set to buy it for $200 million.

It raised $45 million in funding from A-list investors like Marc Andreessen, Reid Hoffman, Greylock Partners, and others, according to CrunchBase.

Digg CEO Matt Williams confirmed the acquisition, but not the price, on Digg's blog. He will join Andreessen Horowitz as an Entrepreneur In Residence.

Here's his blog post on the deal:

Today marks the next stage in Digg's future.

Believe it or not, it's been seven years since Digg launched. To... [via Silicon Alley Insider]