Microsoft Antes Up for Facebook

Microsoft apparently beat out Google yesterday and won a piece of social networking company Facebook. Microsoft agreed to pay $240 million for a 1.6 percent stake in Facebook. That would put Facebook's total value at about $15 billion. At this level of investment, each of Facebook's 50 million users is worth $306.12 to Microsoft.

Microsoft's investment guarantees the software company's exclusive right to sell Facebook's international advertising. Clearly, Microsoft sees online advertising as its next growth business.

Getting a piece of the exploding interest in social networking seems to be the biggest prize of the last year, and Microsoft has won the latest battle. Is Facebook in particular or social networking in general a worthy partner for a software company like Microsoft? Is the company worth $15 billion? Send me your thoughts to pvarhol@redmondmag.com.

Posted by Peter Varhol on 10/25/2007 at 1:23 PM


Featured

  • Office Mobile Apps To End as Microsoft Highlights New Office App

    Microsoft plans to end support for Windows 10 Mobile applications on Jan. 12, 2021, according to a Friday announcement.

  • Is Microsoft Finally Reinventing Office?

    Microsoft is testing out a new technology called "Fluid Framework." It could mean that Brien's dream of one Office app to rule them all might soon become reality.

  • Azure Active Directory Connect Preview Adds Support for Disconnected AD Forests

    Microsoft on Thursday announced a preview of a new "Cloud Provisioning" feature for the Azure Active Directory Connect service that promises to bring together scattered Active Directory "forests."

  • Microsoft Defender ATP Gets macOS Investigation Support

    The endpoint and detection response (EDR) feature in Microsoft Defender Advanced Threat Protection (ATP) has reached the "general availability" stage for macOS devices.

comments powered by Disqus

Office 365 Watch

Sign up for our newsletter.

Terms and Privacy Policy consent

I agree to this site's Privacy Policy.