Yahoo to buy Associated Content

NEW YORK (CNNMoney.com) -- Yahoo announced Tuesday that it has agreed to buy media network Associated Content.

Though terms of the deal were not disclosed, several news reports put the value at between $90 million and $100 million. A spokeswoman from Yahoo would not comment on the finances of the deal.

Yahoo (YHOO, Fortune 500) said the deal for Associated Content will provide "high quality, personally relevant content" for its 600 million online users. The Internet company has shifted its focus toward providing online content -- and away from search, where it was losing significant share to Google (GOOG, Fortune 500) and Microsoft (MSFT, Fortune 500).

"Combining our world-class editorial team with Associated Content's makes this a game-changer," said Carol Bartz, Yahoo's chief executive, in a statement. "Together, we'll create more content around what we know our users care about."

Associated Content boasts 380,000 contributors that produce about 50,000 pieces of content a month. The company pays freelancers to produce a wide array of news and other articles, and it sells that content to other organizations.

"The Associated Content team and our 380,000 contributors are looking forward to joining Yahoo and to the opportunities that being part of a global Internet brand presents," said Luke Beatty, founder and president of Associated Content, in a statement.

Yahoo said it expects to use Associated Content to contribute articles to Yahoo's existing media properties. The company also said the deal will give its advertisers more focused ways to target users.

The deal helps Yahoo stay ahead of smaller rival AOL (AOL), which also has made a concerted move out of search and towards providing content.

Shares of Yahoo were unchanged after hours.