PlanetOut

About PlanetOut

PlanetOut Inc. was a pioneering American online media and entertainment company founded in 1995 to serve the lesbian, gay, bisexual, and transgender (LGBT) community. The company was established by Tom Rielly, who assembled a core team that included Darren Nye, Christian Williams, Jenni Olson, and Greg Gordon. Initially launching as a content provider on the Microsoft Network (MSN) and America Online (AOL), PlanetOut quickly expanded to the web.

The company's business model evolved over time, initially relying on online advertising. A significant shift occurred with the acquisition of Gay.com's parent company, Online Partners, which led to the merged entity being renamed PlanetOut Partners Inc. This merger introduced a profitable subscription-based membership model from Gay.com, which, combined with advertising, became a primary revenue stream. At its peak, the company operated prominent LGBT-focused platforms, including Gay.com and PlanetOut.com, and later diversified by acquiring well-known print publications like The Advocate and Out. These acquisitions aimed to create the largest network for reaching the gay and lesbian community, offering advertisers extensive reach.

PlanetOut's journey included securing a $3 million investment from Sequoia Capital and AOL in 1996, though Sequoia later withdrew due to internal management challenges. The company went public in October 2004, trading under the ticker symbol LGBT. Despite periods of profitability and significant revenue growth, the company faced financial struggles, reporting a net loss in 2006. Financial difficulties continued, leading to the sale of its publishing division to Regent Releasing in 2008. Ultimately, in 2009, PlanetOut merged with Here Networks and Regent Entertainment Media to form a new public entity called Here Media, with PlanetOut becoming a subsidiary.