US-based website builder software Squarespace has entered a definitive asset purchase agreement with Google to purchase the Google Domains business.
Squarespace’s officials said that domains are a critical part of web infrastructure and an essential piece of every business's online presence. They look forward to serving these new customers as their domain products and are committed to ensuring a seamless transition.
Under the terms of the agreement, Squarespace will honour all existing Google Domains customers' renewal prices for at least 12 months following the closing of the transaction, as well as provide additional incentives to encourage Google Domains customers to build a website with Squarespace and adopt other Squarespace offerings. Further, Squarespace will be leveraging Google's infrastructure powering the Google Domains product during the migration period in order to ensure the seamless transfer of domains.
Upon closing, Squarespace, a long- time reseller of Google Workspace, will become the exclusive domains provider for any customer purchasing a domain along with their Workspace subscription from Google directly for a minimum of three years. Squarespace will also provide billing and support services to Google Workspace customers that signed up for the service through Google Domains. Customers will continue to have the option to make changes to their domains account at any time.
The transaction is expected to close in the third quarter of 2023, and is subject to certain regulatory approvals and customary closing conditions. While the majority of the benefits of this deal will be realized in 2024 and beyond, Squarespace believes this deal will be meaningfully accretive to its business from both a revenue and free cash flow perspective over time.
Squarespace is a design-driven platform helping entrepreneurs build brands and businesses online. Their products equip customers in more than 200 countries and territories with all the tools they need to create an online presence, build an audience, monetise, and scale their business. Their suite of products range from websites, domains, ecommerce, and marketing tools, as well as tools for scheduling with Acuity, creating, and managing social media presence with Bio Sites and Unfold, and hospitality business management via Tock.
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