AOL Money & Finance

Microsoft buying eBay would be a stupid mistake

More

With rumors swirling all over the place that Microsoft Corporation (NASDAQ: MSFT) is considering buying Yahoo! Inc. (NASDAQ: YHOO) and now is even considering purchasing eBay Inc. (NASDAQ: EBAY), is the sky falling or something? A potential joining of Microsoft and Yahoo! has been in the rumor mill before, since it would give Ole' Softie instant search marketshare (hence, more ad dollars) plus one of the web's most valuable properties.
Yahoo! is sees billions of hits on its properties every month and runs the world's largest email service. In many respects, a Microsoft and Yahoo! merger would make sense for the global software giant that many see needs to transform itself from a software company to a web and media company -- at least in the consumer space.

But, what about Microsoft joining forces with eBay? Does this make any financial sense? Does a possible union like this jive with Microsoft's corporate mission and objectives? Although Microsoft has plenty of money and weight to throw around for acquisitions, I'm very sure that an eBay acquisition would be a mistake in every conceivable way. Much like eBay's purchase of Skype (where has that return been, Meg?), it's incredibly hard to draw up a synergystic picture between Microsoft and eBay. Any contrasting thoughts welcome. Skype may yet turn into a profitable picture for eBay, but does Microsoft want to really get into the online auction business? What would it gain except millions of customers, many of whom are mad right now, that probably already use Microsoft products?

Reader Comments (Page 1 of 1)

Add your comments

Please keep your comments relevant to this blog entry. Email addresses are never displayed, but they are required to confirm your comments.

When you enter your name and email address, you'll be sent a link to confirm your comment, and a password. To leave another comment, just use that password.

To create a live link, simply type the URL (including http://) or email address and we will make it a live link for you. You can put up to 3 URLs in your comments. Line breaks and paragraphs are automatically converted — no need to use <p> or <br /> tags.

Symbol Lookup
IndexesChangePrice
DJIA+17.4610,023.42
NASDAQ+7.122,112.44
S&P 500+2.671,069.30

Last updated: November 07, 2009: 11:44 AM

BloggingStocks Exclusives

Hot Stocks

DailyFinance Headlines

Latest from BloggingBuyouts

TheFlyOnTheWall.com Headlines

    BioHealth Investor Headlines

    WalletPop Headlines

    My Portfolios

    Track your stocks here!

    Find out why more people track their portfolios on AOL Money & Finance then anywhere else.

    BloggingStocks Partners

    More from AOL Money & Finance

    WalletPop Headlines