Is Microsoft About to Buy Facebook for $50 Billion?

Microsoft CEO Steve Ballmer paid “lip service” to a Yahoo! deal and cleverly set the stage for acquiring Facebook, during his keynote at the Digital Hollywood Media Summit.

Yahoo!’s stock price shot up on the news of his comments, but I think the press and the markets are missing the big picture: Microsoft’s is using the “potential Yahoo! deal” as a red herring with investors. Ballmer is using Yahoo! to convince the market that Microsoft needs to buy Facebook to compete with Google, and to set a price floor of 50 billion for the acquisition.

AW+

WORK SMARTER - LEARN, GROW AND BE INSPIRED.

Spring Special

Save 30% Off an ADWEEK Subscription Today!

View Your Options

Already a member? Sign in