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Google Close to Buying Groupon for $2.5 Bln, N.Y. Post Says

Google Inc. is in advanced talks to buy Groupon Inc., a Chicago-based startup, for about $2.5 billion, the New York Post reported, citing two people familiar with the talks.

The merger would give Google a bigger slice of the estimated $133 billion local advertising market, and the deal may be announced as early as next month; Groupon gets merchants to advertise coupons and if enough of its subscribers demand them, Groupon makes them available and keeps a cut of the sale, the newspaper said.

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