9 Comments »According to the Wall Street Journal, Microsoft has just closed a deal with Facebook. Microsoft will invest up to $250 million in Facebook at up to a $15 billion valuation. This move has beat out Google winning Microsoft an extremely valuable advertising deal with Facbeook for the international market.
Rumors have been circulating about who would win in the deal but it now looks like the deal has closed. Many were speculating up to a $750 million investment by either Google or Facebook. Microsoft has missed out on most of the growth in online advertising and it looks like they may have just inked their first deal that provides them with a larger play in the space
Many of these numbers are lower than expected. Microsoft has ultimately paid $250 million for rights to Facebook’s international ad market.
Breaking: Microsoft Investment With Facebook Closes…
New post at http://www.allfacebook.com…
[...] Microsoft Investment with Facebook Closes Facebook Takes the money and runs Microsoft Beats Google Microsoft Wins Battle Microsoft and Gogole in Facebook bidding Battle Listen to an audio feed of this article or download it and listen to it later. Are you looking for marketing services such as social media optimization, search engine marketing, pay per click program management or consulting, or search engine optimization services? Feel free to contact me. Bill Hartzer is a search engine marketing, social media, and website marketing consultant. Are you looking for marketing services? Let’s talk! - Get Updates by Email. [...]
Breaking: Microsoft Investment With Facebook Closes…
New post at http://www.allfacebook.com...
<strong>facebook.blog.com >> Microsoft $240M investment……
What does Microsoft’s $240 million investment into Facebook mean?
The following posts provide a thorough review of the Microsoft/Facebook deal from many angles:…
facebook.blog.com >> Microsoft $240M investment……
What does Microsoft’s $240 million investment into Facebook mean?
The following posts provide a thorough review of the Microsoft/Facebook deal from many angles:…
[...] Check it out! While looking through the blogosphere we stumbled on an interesting post today.Here’s a quick excerpt [...]
[...] invierte en Facebook -Breaking: Microsoft Investment with Facebook Closes [...]
Nick,
It is nice to see balanced reporting on Facebook and not the kind of hack job that Kara Swisher of AllThingD.com seems to go in for. Even on a day when the naysayers should be pretty impressed with what Mark Zuckerberg and his team have pulled off, she can resist trivializing what is going on in the social operating space.
All I can say is there she goes again…
She just don’t get it and it is getting a little boring to hear her constantly claim to be “the adult in the room” while making fun of Facebook, Mark Zuckerberg and the 160,000+ facebook developers (like her recent highly insulting video of team at the RockYou headquarters).
Throwing verbal or video volleys of sticks and stones just for dramatic or comedic effect is not really “adult” journalism but is something akin to a spoiled bully on a playground who happens to have access a major media outlet — something that the targets of her posts and videos do not.
All she ever really comes around to saying is that “she bets facebook’s valuation is a bubble that will soon burst” and she completely ignores the fact that 50+ million users (growing from 10 million this time last year) might just know better than Kara Swisher what they like to do on their computers.
I would like to ask her, “What are the consequences to you for being completely wrong about facebook?” The world will little note nor long remember what she says there in herr articles but real individuals who ignore facebook (based on her bad advice) may miss the chance to be part of what I’ve called “God’s Gift to Developers” and what with the advent of the “Super Groups” Killer App for Business will soon be “God’s Gift to Marketers.”
As the first facebook-only VC, we are betting that Facebook is no fad. The good news is that our investment in Adonomics.com is already paying dividends in terms of facebook application developers who are hiring us to find buyers for their apps at or above their Adonomics valuations (e.g., iGift recently hired us to sell their gifting app). In addition, facebook developers of some of what Kara calls “apps for toddlers” are making $30K to $100K per month. This is why I think iGift will sell for at least $300K.
WRT Kara saying Facebook’s $15 billion valuation is that high only because they artfully played their king-maker role between Microsoft and Google for the future dominance of online advertising, she should note that when a hedge fund invests at this same valuation, it will be because another group of rational adults (besides Bill and Steve) believe that an investment at the $15 billion valution today will yeild a nice ROI in a short period of time.
You can read a detailed discussion of why Facebook is actually worth $100 billion at blog.adonomics.com
(see http://blog.adonomics.com/2007/10/24/microsoft-... )
and how Facebook can earn $2 billion in 2008 and $4 billion in 2009 without inventing any new type of advertising or e-commerce system. I challenge Kara or any of the facebook naysayers to refute the business points I make in this post like an adult and not like a toddler (e.g., like in Kara’s earlier previous post where her cogent argument was “I’m right because I say I am.”)
Thanks,
Lee Lorenzen
CEO, Altura Ventures — the first facebook-only VC
(c) 2007 Altura Ventures LLC
Nick,
It is nice to see balanced reporting on Facebook and not the kind of hack job that Kara Swisher of AllThingD.com seems to go in for. Even on a day when the naysayers should be pretty impressed with what Mark Zuckerberg and his team have pulled off, she can resist trivializing what is going on in the social operating space.
All I can say is there she goes again…
She just don’t get it and it is getting a little boring to hear her constantly claim to be “the adult in the room” while making fun of Facebook, Mark Zuckerberg and the 160,000+ facebook developers (like her recent highly insulting video of team at the RockYou headquarters).
Throwing verbal or video volleys of sticks and stones just for dramatic or comedic effect is not really “adult” journalism but is something akin to a spoiled bully on a playground who happens to have access a major media outlet — something that the targets of her posts and videos do not.
All she ever really comes around to saying is that “she bets facebook’s valuation is a bubble that will soon burst” and she completely ignores the fact that 50+ million users (growing from 10 million this time last year) might just know better than Kara Swisher what they like to do on their computers.
I would like to ask her, “What are the consequences to you for being completely wrong about facebook?” The world will little note nor long remember what she says there in herr articles but real individuals who ignore facebook (based on her bad advice) may miss the chance to be part of what I’ve called “God’s Gift to Developers” and what with the advent of the “Super Groups” Killer App for Business will soon be “God’s Gift to Marketers.”
As the first facebook-only VC, we are betting that Facebook is no fad. The good news is that our investment in Adonomics.com is already paying dividends in terms of facebook application developers who are hiring us to find buyers for their apps at or above their Adonomics valuations (e.g., iGift recently hired us to sell their gifting app). In addition, facebook developers of some of what Kara calls “apps for toddlers” are making $30K to $100K per month. This is why I think iGift will sell for at least $300K.
WRT Kara saying Facebook’s $15 billion valuation is that high only because they artfully played their king-maker role between Microsoft and Google for the future dominance of online advertising, she should note that when a hedge fund invests at this same valuation, it will be because another group of rational adults (besides Bill and Steve) believe that an investment at the $15 billion valution today will yeild a nice ROI in a short period of time.
You can read a detailed discussion of why Facebook is actually worth $100 billion at blog.adonomics.com
(see http://blog.adonomics.com/2007/10/24/microsoft-expects-at-least-7x-return-on-their-recent-facebook-investment/ )
and how Facebook can earn $2 billion in 2008 and $4 billion in 2009 without inventing any new type of advertising or e-commerce system. I challenge Kara or any of the facebook naysayers to refute the business points I make in this post like an adult and not like a toddler (e.g., like in Kara’s earlier previous post where her cogent argument was “I’m right because I say I am.”)
Thanks,
Lee Lorenzen
CEO, Altura Ventures — the first facebook-only VC
(c) 2007 Altura Ventures LLC