Burda Exits Europe Online
German publisher Burda Holding said Sunday that it is pulling out of the Internet service provider Europe Online. Europe Online said it is negotiating with new investors.
Burda, which holds a stake of about 36% in Europe Online, said it had been pressing the company to change its management structure so as to streamline decision making.
“We feel that it is no longer economically viable to keep putting capital and creativity into a project that is so complicated to navigate,” Burda spokesman Philipp Welte said in a statement.
“The whole online market is developing so rapidly that you can only be successful by being able to make quick changes and move swiftly,” he said.
Welte said Burda plans to concentrate on developing its own Internet service for the German market.
Executives for Luxembourg-based Europe Online identified dismissed Burda’s criticism as unfounded.
More to Read
Start your day right
Sign up for Essential California for news, features and recommendations from the L.A. Times and beyond in your inbox six days a week.
You may occasionally receive promotional content from the Los Angeles Times.
