Internet Company AOL has announced its desire to sell out its social networking division that it procured merely two years before on the cost of $850 million. And it is facing stiff competition from rival sites like Facebook and it needs significant amount of investment to keep itself competitive in the market against other social media sites. And AOL is not in condition to provide that much finance thereof. AOL split with Time Warner last year and facing it stiff to sustain itself against other competitor internet providers.

“Bebo, unfortunately, is a business that has been declining and, as a result, would require significant investment in order to compete in the competitive social networking space,” Jon Brod of AOL Ventures told employees in an email. “AOL is committed to working quickly to determine if there are any interested parties for Bebo and the company’s current expectation is to complete our strategic evaluation by the end of May 2010.”