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Google 'in sales negotiations' for Next New acquisition

Sales negotiations are being thrashed out between Google and video maker Next New Networks, according to reports.

11 February 2011

Sales negotiations are reportedly on the table between Google and video producer Next New Networks.

Google is in talks to buy the firm in order to boost the quality of content on its website YouTube.

Some of Next New Network's investors include Goldman Sachs, the Saban Capital Group, Fuse Capital and Spark Capital, all of which could be keeping a close eye on the progress of the sales negotiations.

The firm was launched in 2007 and is behind the two-most viewed videos of 2010, which could increase its bargaining power during sales negotiations.

YouTube wants to drive more visitors to its website and keep them there for longer.

According to the Wall Street Journal, Google is expected to fork out "tens of millions of dollars" for Next New Networks, which is based in New York.

The newspaper added that internet giants are trying to bring back users who now spend the majority of their time on social networking websites like Facebook.

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