Sign up for our daily briefing

Make your busy days simpler with Axios AM/PM. Catch up on what's new and why it matters in just 5 minutes.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on the day's biggest business stories

Subscribe to Axios Closer for insights into the day’s business news and trends and why they matter

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Stay on top of the latest market trends

Subscribe to Axios Markets for the latest market trends and economic insights. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Sports news worthy of your time

Binge on the stats and stories that drive the sports world with Axios Sports. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Tech news worthy of your time

Get our smart take on technology from the Valley and D.C. with Axios Login. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Get the inside stories

Get an insider's guide to the new White House with Axios Sneak Peek. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Denver news?

Get a daily digest of the most important stories affecting your hometown with Axios Denver

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Des Moines news?

Get a daily digest of the most important stories affecting your hometown with Axios Des Moines

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Twin Cities news?

Get a daily digest of the most important stories affecting your hometown with Axios Twin Cities

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Tampa Bay news?

Get a daily digest of the most important stories affecting your hometown with Axios Tampa Bay

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Charlotte news?

Get a daily digest of the most important stories affecting your hometown with Axios Charlotte

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Sign up for Axios NW Arkansas

Stay up-to-date on the most important and interesting stories affecting NW Arkansas, authored by local reporters

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Dotdash CEO Neil Vogel. Photo: Brad Barket/Getty Images for Fast Company

Dotdash, the IAC-owned digital publishing company that grew from About.com, has acquired two new digital publishers, TreeHugger and Mother Nature Network, to create a new sustainability vertical within its portfolio, executives tell Axios.

By the numbers: The company expects to do $160 million in revenue and $40 million in EBITDA for 2019.

Why it matters: Dotdash is a rare breed in the digital media industry. It's profitable by a hefty margin and it still makes most of its money from advertising. Unlike other digital media companies looking to diversify revenue away from ads, Dotdash has found that its formula of scaling ad-based websites with evergreen content is working.

Expand chart
Data: Dotdash; Table: Axios Visuals

Details: Dotdash is acquiring both properties in all-cash deals. While deal terms are not disclosed, Dotdash CEO Neil Vogel says each acquisition is analogous in size to Brides, the wedding-focused outlet that it purchased in May from Condé Nast.

  • Vogel says that he's acquiring 10 people, the full editorial teams of both websites.
  • Both sites are currently owned by Narrative Content Group. Their sales and operational staffs will remain with the larger holding company.
  • The sites were sold to Narrative via a merger in 2012. TreeHugger was previously owned by Discovery Communications.

Between the lines: The investment in sustainability by Dotdash is a departure from its typical content strategy, as it doesn't fit neatly into any one vertical.

  • Mother Nature Network is one of the most popular websites for providing resources about the environment and responsible living. TreeHugger is focused more closely on sustainability in design, home and living.
  • Both sites align closely with Dotdash's existing sites like The Spruce, a home design website, and ThoughtCo., an educational website.
  • "I love this space because I don't think there's a clear-cut leader and I think that people are really underestimating the size and opportunity of this content," says Vogel.

The big picture: Dotdash has built a sizeable digital publishing business by acquiring service content websites with loyal followings and then growing them using its resources and the resources at IAC.

  • It grows the audiences at these sites by first optimizing them technically — streamlining the ad experience, revamping the design, making them faster, etc. — and then selling them at scale alongside other Dotdash-owned sites.
  • "This is our fourth time doing this. At this point, we've proven that we can grow an audience and then monetize it. We have a swat team in doing these things."

Be smart: Dotdash is a digital media brand that is often overlooked as being profitable in the digital era, in part because its growth strategy isn't tied to acquiring household name news brands, but rather brands with small, niche, loyal followings.

The bottom line: "We're not rehab people. We have no interest in buying things that are broken or messed up," says Vogel. "We pay a fair price for real assets. These things work, nice businesses. We think the opportunity here is super scalable."

Go deeper

Dems' immigration plan hits major roadblock

Senate Majority Leader Sen. Chuck Schumer. Photo: Alex Wong/Getty Images

The Senate parliamentarian ruled Sunday that Democrats cannot include pathways to citizenship in the $3.5 trillion budget reconciliation package, per a copy of the ruling obtained by Axios.

Why it matters: It's a blow to Democrats who hoped to provide pathways for millions of undocumented immigrants in the U.S. Using reconciliations would have allowed them to pass politically contentious immigration changes with only 50 votes, as opposed to the usual 60 required.

FBI says human remains found in Wyoming likely Gabby Petito

Gabby Petito. Photo: FBI

Human remains found in Teton County, Wyoming, are "consistent with the description of" missing 22-year-old Gabby Petito, said FBI Denver official Charles Jones at a news conference Sunday.

Details: The cause of death had yet to be determined, but Jones said: "Full forensic identification has not been completed to confirm 100% that we found Gabby, but her family has been notified of this discovery." Authorities said they're continuing the search for her fiancé, Brian Laundrie.

6 hours ago - Politics & Policy

Beto not even best Dem against Abbott

Beto O'Rourke speaks at a rally at the Texas State Capitol in June. Photo: Sergio Flores/Getty Images

Actor Matthew McConaughey’s nine-point lead in a theoretical matchup against Greg Abbott shows just how vulnerable the hard-right Texas governor could be in a general election.

Why it matters: Abbott has won conservative accolades for his abortion, mask and vaccine bans. Axios reported Sunday that former Rep. Beto O’Rourke is preparing to announce a gubernatorial challenge — but a recent poll shows he’s not even the most popular Democrat in the state.