GoDaddy Acquires Media Temple to Accelerate Web Pro Expertise

Brand & operations to remain autonomous

GoDaddy October 15, 2013

GoDaddy, the Web’s largest platform for small businesses, has acquired (mt) Media Temple, a Los Angeles-based Web hosting and cloud services company focused on the creative class of digital designers, developers, entrepreneurs and innovators.

The two companies will continue to operate independently. The strategic acquisition provides GoDaddy with direct access to Media Temple’s hosting gurus, who will share knowledge and insight on how GoDaddy can better serve Web professionals and developers. GoDaddy provides scale and investment for (mt) to accelerate its growth and further expand internationally.

“The people at Media Temple ‘get’ Web pros and developers … that alone is a tremendous asset for us,” said GoDaddy CEO Blake Irving. “While we gain Media Temple’s insight, we also reach a more technical audience than GoDaddy has served historically. Having done our homework with a deep customer segmentation, we understand there are vastly different needs on the customer continuum between a small business and a developer. We love that (mt) pursues their business their own way and we’re committed to make sure that continues under the (mt) brand.”

(mt), as they are known, specializes in premium hosting services with their innovative Grid and developer VPS hosting, as well as a variety of cloud services and a highly technical, award-winning brand of customer service. Founded in 1998, (mt) serves more than 125,000 customers and hosts more than 1.5 million websites featuring everything from the latest Internet start-ups, like Fifty Three, Drop Stop and LRG, to the most internationally-recognized brands, such as Sony, Nordstrom, The Wall Street Journal, Starbucks, IBM and Volkswagen.

The strategy to keep the two companies operating independently was critical for (mt) Media Temple co-founder Demian Sellfors, who engineered the company’s years-long strategy resulting in today’s acquisition. “Blake’s vision to transform GoDaddy and build bridges into the creative community was very attractive to me. The commitment to maintain Media Temple’s autonomy was equally imperative,” said Sellfors. “I know Media Temple is heading in the right direction as the company looks to expand its brand and help more people around the world.”

Russell P. Reeder, whom Sellfors selected as his successor more than a year and a half ago, continues as (mt) President. “We are built precisely with developers in mind and we know we can make a difference in guiding GoDaddy toward better Web pro services, functionality and communication. This is an exciting time for our company and a reaffirmation of the Web design-oriented culture we have built at Media Temple.”

(mt) employs 225 people who, like GoDaddy employees, come to work each day on a mission to help people and businesses succeed online. (mt) will continue to operate out of its Los Angeles office and customers can expect a ‘business as usual’ approach.

“Media Temple has been successful for 15 years in serving the needs of a highly technical customer base,” said GoDaddy Hosting GM Jeff King, who is based in the company’s Sunnyvale office. “We love the (mt) team, are inspired by their focus and will leverage their expertise to accelerate our own programs focused on Web pros.”

GoDaddy has made six acquisitions in 15 months, including (mt), Outright, M.dot, Locu, Afternic and Ronin. Each of these companies was selected because of their expertise in helping small businesses and individuals looking to leverage the power of the Internet. GoDaddy now serves more than 12 million paying customers and employs nearly 4,000 people. Irving has inspired leaders from companies such as Amazon, Google, Microsoft, Yahoo! and Intuit to join GoDaddy this year. The company recently shifted its advertising approach, product-focus and user-experience to revolve around how GoDaddy helps small businesses succeed online.

Financial terms of the Media Temple transaction were not disclosed.

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