Ziff Davis will sell its Connectivity division to Accenture for $1.2 billion. The division includes well-known services such as Ookla and Downdetector.
The sale of the Connectivity division will allow Ziff Davis to focus on its key websites, such as IGN, Mashable, Everyday Health, and iBuyNewCar. Following news of the deal, Ziff Davis shares rose more than 60% at the start of trading. According to Accenture’s Chief Strategy and Services Officer Manish Sharma, the acquisition of Ookla assets will help the company provide comprehensive network analytics services, essential for AI-based transformations.
The deal is expected to close in the coming months. Until then, the Connectivity division will continue to operate under Ziff Davis’s management. This deal is part of a broader asset optimization strategy led by Ziff Davis CEO Vivek Shah since 2017. The proceeds will be used for general corporate purposes and to service the company’s debt obligations.
The Connectivity division was formed through the acquisition of individual companies, with Ookla being purchased for $15 million in 2014 and RootMetrics in 2016. Last year, Connectivity generated revenues of $231 million, accounting for about 16% of Ziff Davis’s total revenue.
| Division | Year Acquired | 2022 Revenue ($ million) |
|---|---|---|
| Ookla | 2014 | 231 |
| RootMetrics | 2016 | – |
