Daily-deal company LivingSocial has bought technology consultancy InfoEther Inc. Terms were not disclosed.

InfoEther focuses on the open source Ruby software language and a related web development framework called Ruby on Rails that LivingSocial.com is built on. InfoEther started business in 2001 and has worked with some 40 clients using Ruby on Rails.

LivingSocial says the new partnership will enhance its ability to expand and innovate.  “InfoEther’s reputation in the technology community is a testament to their technical capabilities and nimble team, and when combined with LivingSocial’s proven excellence, we will dominate the local commerce marketplace,” says Aaron Batalion, LivingSocial’s co-founder and chief technology officer.

Earlier this month, LivingSocial began testing its Instant Deals, a feature within its mobile app that lets users search for offers within a half-mile radius of their location.  The deals through this program are good for a much shorter period of time than LivingSocial’s typical daily deals and are aimed at drumming up traffic for local merchants during slow periods.  

LivingSocial says it has at least 24 million subscribers in more than 200 markets worldwide.  The company expects to reach 300 markets by the end of 2011.