AOL Inc. will acquire online news and analysis site The Huffington Post in a deal with $US315-million.

Thomson Reuters notes that the acqusition by the “struggling U.S. internet company” is trying to build a “media and entertainment powershouse.” The new media group will boast 117 million monthly visitors in the U.S., and 270 million globally. HuffPo co-founder Arianna Huffington will be president and editor-in-chief of the new Huffington Post Media Group, which will oversee content from both companies.

You have to wonder: in the wake of a $300-million paycheque, will reporters continue to work for free for HuffPo?