AOL to shutter or sell Bebo, memo says

It looks like Facebook’s web dominance has claimed another victim, as an AOL memo circulating indicates that the company plans to shutter or sell the social networking site Bebo.

Although AOL sunk $850 million into Bebo two years ago, it appears that that investment is being written off:

“Bebo, unfortunately, is a business that has been declining and, as a result, would require significant investment in order to compete in the competitive social networking space. AOL is not in a position at this time to further fund and support Bebo in pursuing a turnaround in social networking,” reads the memo.

Facebook is far and away the top dog in the social networking game, and the site had nearly 463 million unique visitors in February, a 68% increase over the same time last year. Bebo, on the other hand, was down 45% over last year with a comparatively paltry 12.8 million unique visitors. AOL expects to decide Bebo’s fate for good by next month.

[PC World]