Michael Arrington at TechCrunch says that he's confirmed that Google is acquiring Feedburner for close to $100 million. He's citing "a source close to the deal," so he could still be wrong, but if he's right, it's an all-cash deal, mostly upfront, with Feedburner's founders to stay on for a couple of years, at least.
The move gives Google a working feed-based ad network, but more importantly it keeps Google close to publishers, which it can then try to entice to take on more of its services. Feedburner also offers an impressive analytics package that can be incorporated into both Blogger and Google Analytics.
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