New York Times Engages in Negotiations to Acquire Letterboxd for $330 Million

The New York Times Company is reportedly in “exclusive negotiations” to purchase Letterboxd for $330 million, according to a report from its own publication.

Letterboxd, a social platform designed for film enthusiasts, has seen substantial growth lately. In January 2021, it had 3 million users, a number that surged to 28 million by April this year. Over 50% of its user base is under the age of 35.

Previously, Letterboxd was looking for a new owner. Film studios A24 and Sony had shown interest in acquiring the platform, though A24 was unable to meet the financial demands.

While Letterboxd is free to use, subscribers can access additional features through a paid plan. Its projected revenue for the year is around $15 million, which is just about 4.5% of the proposed acquisition price.

The New York Times Company has refrained from commenting on the acquisition details to its own outlet, which adds an interesting twist to the story. It seems plausible that these insights could be coming from internal sources, making the report worthy of consideration.