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 [email protected].
 
	
Posted by Peter Varhol on October 25, 2007