Thursday, October 25, 2007

Skyrocketing value of online communities

It’s surprising about Microsoft corp’s investment in Facebook Inc. - $15 billion for 3 ½ year old internet hangout, or the rare shun of online leader Google Inc.

Microsoft paid $240 million price for 1.6% stake in Facebook. This clear the view, world largest software maker, crudely wanted to deepen its relationship with a startup that didn’t have $200 million in annual revenue.

By stamping the deal, Microsoft had loosed previous high-stake biding battles to taking stake in AOL, internet ad service DoubleClick Inc, and taking the ownership of online video sharing pioneer YouTube. Microsoft finally cooked-up Google by taking the stake of Facebook Inc.

Microsoft’s investment, increase the value of online communities like Facebook, Orkut – a place where people look for dates, share music videos and photos, connect with family and friends.

News corp. in 2005 paid $580 million for outright ownership of Microsoft established the current market value of Facebook to $15 billion, by his investment in the same.

Although Myspace remains the largest social network, while there is so many social site for different activity, like Digg (community-based popularity website), delicious (social bookmarking), Dekoh (Sharing photo, music, books etc direct from there desktop without uploading), Flicker (photo sharing), Orkut (social interacting website) and many more….

Google’s current social network (Orkut) has seen relatively good success on the globe.

32 year old company Microsoft becoming more internet savvy by his successful courtship of Facebook.


giri said...

Well, it's not a right price for the Facebook deal. I don't think it is worth $15 billion right now. AFA, Google is concerned, Orkut is doing well so, what's a need for another social networking site. I like facebook over orkut though for obvios reasons.

Anonymous said...

Hopefully this will be an ongoing trend for a while, because I have a few ideas concerning Web2.0 websites. :)

He man said...

giri:-This is good sign for internet industry...let them make some more web 2.0 website, they will serve our different needs...

anonymous:-We are more into web 2.0 development, feel free to contact us for any type of query...or share your web 2.0 ideas..we will definitely respect your valuable idea...

Saurabh Kumar said...
This comment has been removed by a blog administrator.
giri said...

@he man:- There are zillions of crappy web 2.0 websites out there. Most of them have same..ditto idea and i don't think these sites going to do any good. Yes, If there is a unique idea being implemented, then we can say that it's a good sign for internet industry.

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