Walmart buys social media startup: What are the implications?

The California-based Kosmix will operate as part of the new @WalmartLabs.

It seems an unlikely pairing, but the retail giant has signed an agreement to purchase Mountain View, Calif.-based social media startup Kosmix for a cool $300 million.

Founders Venky Harinarayan and Anand Rajaraman and the Kosmix team will operate as part of the new @WalmartLabs and continue to be based in Silicon Valley.

According to a press release, Walmart plans to expand @WalmartLabs. I imagine it will be tasked with Walmart’s cache of discounted products, available for purchase via every piece of Internet-accessible hardware on the planet.

Business Insider sees it as more of a move toward social commerce:

To read the full story, log in.
Become a Ragan Insider member to read this article and all other archived content.
Sign up today

Already a member? Log in here.
Learn more about Ragan Insider.