Billionaire Barry Diller Exploring Sale of the “Daily Beast” Due to Financial Struggles
By: Marty Raminoff
Barry Diller, the billionaire media and tech mogul, is exploring the sale of digital tabloid the Daily Beast, according to a report Friday, as was reported by the New York Post.
IAC, the holding company founded by Diller, has hired the advisory firm Whisper Advisors to explore the sale of the Daily Beast, the New York Times reported.
The sale process is still in the early stages, and a price for the property is not yet known, the report said, according to the Post.
“IAC does not comment on rumors or speculation,” a rep for the company told The Post.
The Daily Beast was founded some 14 years ago by Tech and media mogul Diller, who has owned the media company, along with co-founder and longtime editor Tina Brown. The digital publication drew an impressive 15 million visitors in November, after reporting several big scoops, including news that former NFL player Herschel Walker, the Republican nominee for Senate in Georgia, was the father of children which he didn’t previously admit to publicly. The news site had been struggling to make ends meet, leading it to charge $4.99 monthly for digital subscriptions. Per the Post, the site also now makes money off advertisements on crossword puzzles published five times a week, and has a “Scouted” section in which it recommends products and makes a cut off the online sales.
Diller, 80, who formerly founded Fox Broadcasting Company and USA Broadcasting, acquired numerous magazines for IAC. The company purchased Meredith Corp. in 2021, adding prominent publications to their portfolio including People, Better Homes and Gardens, and Southern Living. Last year, IAC announced it would only keep web versions and close print editions for Entertainment Weekly,InStyle, Eating Well, Health, Parents and People en Español.
A Daily Beast spokesperson replied to the Post’s request for comment on a potential sale by saying it “does not comment on rumors or speculation.”
Diller’s reported move to sell the Daily Beast comes as the advertising market is squeezing media companies, the Post reported.
On Friday, Daily Beast’s Chief Executive Officer scrambled to quiet talk that the news outlet will be sold, following leaked reports.
As reported by the NY Post, CEO Heather Dietrick shot out a message to staff members, saying “there is no deal and it’s impossible to predict what might happen,” as per an internal message on Slack instant messaging program, leaked to The Post. The chatter began last week when the NY Times reported that Barry Diller, who runs IAC, which is the parent company of the Daily Beast, tapped advisory firm Whisper Advisors to explore the possibility of a sale.
The Times had reported that the process was in “early stages”. Dietrick was on a damage control mission, trying to calm the staff’s fears via her message. “I wanted to follow up on the New York Times story today. It isn’t surprising that — particularly after our successes of the last few years — other media companies may have expressed interest in The Daily Beast, or that IAC would be having conversations,” Dietrick wrote in the leaked memo. The CEO added: “I know a rumor like this can be unsettling, but I can say with confidence that there is no cause for panic here.”
“Clearly there has been a lot of internal worry over the potential sale of the Daily Beast this morning,” a Daily Beast newsroom source told The Post. “There’s been a lot of chatter within Slack. Staffers are very worried over it and have made calls to each other.” The Daily Beast source touted the newsroom’s “close-knit team” and likened it to a “big pirate ship” helmed by editor in chief Tracy Connor, saying that the site’s fun culture “might change if a new owner comes in.”
A Daily Beast spokesperson replied to the Post’s request for comment on a potential sale by saying it “does not comment on rumors or speculation.”
