Electron Interactive Acquires Storage.com

Electron Interactive, Inc. has completed the acquisition of the Internet domain name Storage.com in the first of a series of major domain acquisitions the Internet firm is planning to make. The exact terms of the transaction are not being disclosed, however, it is reported to be one of the largest domain name transactions to take place in 2008.

Electron also announced the acquisition of the phone number 1-866-STORAGE to complement the core Storage.com brand.

Coming on the heels of the sale of Fund.com for $10 million in early 2008, and despite a downturn in the general economy, domain valuations are booming with no end in sight. Electron is looking to the near-term to complete similar acquisitions in complementary verticals.

"We are building out our local advertising network one major vertical at a time," said Electron’s Chief Strategy Officer, Joe Davison. "We believe that category-defining, generic domain names like Storage.com are grossly undervalued compared to their power as consumer brands."

In this case, the brand defines more than one multi-billion dollar industry: both self storage, and data storage. "Subsequent to this acquisition, we will be making a major announcement in the coming weeks with regards to the future of the Storage.com domain name," Davison said. "Ultimately, we’ll do whatever creates the most long-term value for Electron."

Electron is considering several strategies for maximizing the impact these assets will have on earnings, which experienced rapid growth leading up to the acquisition. One strategy includes integrating Storage.com into their Electron Local platform — tying it into a global salesforce.

If that happens, storage facilities worldwide will be able to purchase display advertising and other value-added services directly with Storage.com. "We believe that Storage.com is the perfect domain name with which to demonstrate the Electron Local platform," Davison continued. "We’ll literally revolutionize advertising in the storage industry overnight. Whether you need storage in Phoenix, New York, or Hong Kong, you should be able to find it on Storage.com."

Despite these plans, Davison acknowledges that Electron is always open to strategic investment. "Unfortunately for potential buyers, we are very bullish on the value of domain names and Internet intellectual property. We see them as strategic assets in the competitive Internet advertising landscape."

Electron Interactive, Inc.