Now Microsoft Eyes Facebook Stake
Techtree News Staff, Sep 26, 2007 1459 hrs IST
That Microsoft is in a tearing hurry makes sense -- especially since Google is also believed to be rapidly expanding its footprint in the Internet advertising business.
Coming close-on-Google-heels is Microsoft's apparent interest in a minority stake in Facebook, the popular social networking Web site.
The software giant has quietly granted broad powers to a recently hired executive, whose mission statement is to shake-up the company's online business, sources close to the development revealed.
If Microsoft's talks are to fall through, the company could end-up acquiring up to 5 percent stake in Facebook for a sum ranging between $300 million and $500 million.
That Microsoft is in a tearing hurry makes sense -- especially since Google is also believed to be rapidly expanding its footprint in the Internet advertising business.
All the more because some industry experts hold, that today, Internet is poised for a paradigm shift. To put it in simple words, those in charge of the technology platform for buying and selling of online advertisements look suitably positioned to enjoy immense control over the Internet for a couple of years to come.
And Google remains way ahead of Microsoft in terms of sheer numbers of advertisers and Web publishers using its systems, as well as online advertising revenues.
While Microsoft tries to play catch-up with Google in more than one way, a stake in Facebook could prove to be the ultimate trump card for the software major in its battle for Internet share vs Google.
Besides, Facebook, with over 40 million users at last count, is in a way, representative of Internet's next big thing -- social networking.
All said, it's really up to Facebook to decide between either suitor (Microsoft or Google) or none at all...
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