G/O Media sells Kotaku to Gizmodo owner Keleops

Zoom in: Kotaku's editorial staff will remain and Keleops plans to hire more senior talent, echoing its approach with Gizmodo, CEO Jean-Guillaume Kleis told Axios.

• Kleis declined to share the purchase price of the all-cash deal. He said in the short term he had no immediate strategy shifts as he hadn't yet met with Kotaku's editor-in-chief.
• "I like to trust people, and I know that people in this industry have really good ambitions," Kleis said. "The market is really challenging, but I know they want to do their best."
• G/O Media CEO Jim Spanfeller told Axios in an email, "We are very happy that we were able to find a great home for Kotaku and its entire staff. We wish the team and Keleops only the best."

Zoom out: The move is part of the Switzerland-based company's broader plan to build a tech-focused media portfolio and grow more in the U.S. Keleops launched in 2014 and acquired four French media brands — 01net, Journal du Geek, Presse Citron and IPhon. It's privately held and profitable.

• Kleis said he could have acquired Kotaku alongside Gizmodo but waited to gain confidence in the business model and U.S. market.
• Keleops' U.S. monthly audience is up 100% compared to last June and Gizmodo's total audience has grown 400%, Kleis said. It generates more than half its revenue from affiliate deals with partners like Amazon, Apple and Samsung. The rest comes from display ads and branded content.
• "We expect [Gizmodo] to grow even bigger this year and then next year as well," Kleis said. "That's why we wanted to double down on the U.S. and make another significant acquisition."

Between the lines: With the Gizmodo acquisition, Keleops opened a U.S. office in New York and began navigating the new market, Kleis said. One new area was negotiating with Writers Guild of America East for Gizmodo's new contract, which included AI protections.

• "AI will never replace journalists, especially high-quality journalists," Kleis said. "That's why we're really focusing on experienced people bringing a lot of value to our readers, creating an engaged community."
• Kleis said new priorities for Gizmodo include live coverage of events and vertical videos on social media. It plans to launch a site redesign in the coming months.

The big picture: G/O Media has sold off nearly all of its properties in a series of sales that kicked off in 2023 with Ziff Davis buying Lifehacker and Paste Media acquiring Jezebel and Splinter.

• In 2024, Paste Media bought The A.V. Club, Static Media acquired The Takeout and Jalopnik, Lineup Publishing bought Deadspin, Keleops acquired Gizmodo and Global Tetrahedron acquired The Onion. This year, Redbrick bought Quartz and The Inventory.
• The Root is G/O Media's only remaining property.

What to watch: Kleis said Keleops is actively pursuing more acquisitions, particularly in the U.S. and focused on tech, innovation, science and pop culture.

Go deeper: G/O Media CEO publishes "epilogue" after Kotaku sale