Posted by: Rob Hof on March 29
As if it doesn’t already mint money, Google’s raising $2.1 billion more in a new offering. You sure don’t need this kind of money to develop Web services, do you? So maybe the question is, how many more Web 2.0 startups just got a new lease on life? Or does Google have somewhat bigger prey in mind now?
Update: A lot of folks here and on sites that track back to this post assume I’m suggesting that Google is the most likely acquirer of Facebook. Actually, I tend to doubt it, at least not at anything near $2 billion. Yahoo! seems like a more likely acquirer. Guess I was trying to be too clever, sorry about that. On the other hand, I have to think that this wasn’t done merely to help institutional shareholders. Even if a Facebook acquisition is unlikely, I don’t doubt many others are on the table.
Sounds like tulipmania to me....
Yep, I'd say they're going for Facebook.
They would have seen the massive growth and "bargain" Murdoch obtained Myspace for, and so are probably regretting they didn't buy up a similar site.
cheers
nathan
we gotta ditch google. it is getting too big and too invasive!
I agree with Nathan above, buying facebook makes a lot of sense, all those users, all that demographic data. Imagine Google toolbar that allows facebook users to post automatically without visiting site. Definately a smart move on Google's behalf, assuming of course it does happen.
Perhaps they are going to purchase facebook. However, I don't think they'd pay near $2 billion for it. Most of that money will be for other resources and projects. No one would pay $2 billion for facebook - no one.
They are simply issuing more Class A shares for the index funds that hold the SP 500, which they are going to be joining soon. Blogs make people speculate too much.
I disagree, Cais... someone might fork over the $2 billion -- there are many fools out there. But google isn't known for being foolish, and I doubt they'll make that move.
But whoever buys it should act fast, in a few years, Facebook will be overpopulated with middle-aged alumni, crawling with married guys checking out 18 year olds in skimpy outfits ... and the kids will have to find something new :P.
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