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Microsoft buys skype for $8.5 billion!
Sober
#1 Posted : Tuesday, May 10, 2011 10:46:59 PM
Rank: Elder


Joined: 11/27/2007
Posts: 3,604
I an enraged will the deal pay itself?
African parents don't know how to say sorry.. the closest you will get to a sorry is a 'have you eaten'
Cde Monomotapa
#2 Posted : Wednesday, May 11, 2011 5:07:29 AM
Rank: Chief


Joined: 1/13/2011
Posts: 5,964
I'm not much of a technology guy (recently up-graded from my darling old Nokia.1100) so someone please tell us what value do they see in this deal? What advantage accrues hence to MS?
KenyanLyrics
#3 Posted : Wednesday, May 11, 2011 8:10:03 AM
Rank: Veteran


Joined: 4/16/2010
Posts: 906
Location: Nairobi
1. Skype is central to the online experience. It is one of those companies who's name has become a verb due to the high uptake of their technology
2. Skype's business strategy is to offer free PC to PC calls, and charge for calls from PC to other devices, and enterprise usage. The free, ad-supported PC to PC calls have served Skype well, but they have been weak on the premium side. Microsoft will help maximise the premium side by mixing Skype into all of their hardware products(Windows Phone, Xbox etc) and ALL their enterprise products(MS Office, Outlook etc)
Cde Monomotapa
#4 Posted : Wednesday, May 11, 2011 8:20:05 AM
Rank: Chief


Joined: 1/13/2011
Posts: 5,964
Thanks K-Lyrics...for enlightnening a brotha. Anymore views pple?
drake
#5 Posted : Thursday, May 12, 2011 12:40:26 PM
Rank: Member


Joined: 8/8/2009
Posts: 170
Sober wrote:
I an enraged will the deal pay itself?


Are you a shareholder?

@ Cde Monomotapa - 'One' word...... Google voice
Sober
#6 Posted : Friday, May 13, 2011 9:55:14 PM
Rank: Elder


Joined: 11/27/2007
Posts: 3,604
why did microsoft cough all that amount to buy it. they would have just downloaded it for free like most of us.
African parents don't know how to say sorry.. the closest you will get to a sorry is a 'have you eaten'
earthvoice
#7 Posted : Friday, May 13, 2011 10:08:08 PM
Rank: Member


Joined: 1/29/2011
Posts: 257
Sober wrote:
why did microsoft cough all that amount to buy it. they would have just downloaded it for free like most of us.


Laughing out loudly Applause Laughing out loudly Applause Laughing out loudly Applause
Good one!!!!!
"All intelligent investing is value investing -- acquiring more than you are paying for. You must value the business in order to value the stock." - Charlie Munger.
Cde Monomotapa
#8 Posted : Saturday, May 14, 2011 5:58:03 AM
Rank: Chief


Joined: 1/13/2011
Posts: 5,964
earthvoice wrote:
Sober wrote:
why did microsoft cough all that amount to buy it. they would have just downloaded it for free like most of us.


Laughing out loudly Applause Laughing out loudly Applause Laughing out loudly Applause
Good one!!!!!

Yeah, ahahaha..got jokes. smile smile smile
Cde Monomotapa
#9 Posted : Saturday, May 14, 2011 6:12:09 AM
Rank: Chief


Joined: 1/13/2011
Posts: 5,964
KenyanLyrics wrote:
1. Skype is central to the online experience. It is one of those companies who's name has become a verb due to the high uptake of their technology
2. Skype's business strategy is to offer free PC to PC calls, and charge for calls from PC to other devices, and enterprise usage. The free, ad-supported PC to PC calls have served Skype well, but they have been weak on the premium side. Microsoft will help maximise the premium side by mixing Skype into all of their hardware products(Windows Phone, Xbox etc) and ALL their enterprise products(MS Office, Outlook etc)

Your analysis brings out good business sense and sure loading skype onto existing products & charging a couple more coins on top makes sense. Then now we move on..is the price paid right ama hii Openview ingine hahaha or as our friend @sober reckons..they should've downloaded for free..hahaha! Personally I have never used skype-juu hiyo 60 thao ya show ndo me hutumia ku-load credo (chapaa!)-but I am aware it is popular n' now that u've info.d us that they make money thru ad.revenue then i guess that is what MS is mostly paying for.
drake
#10 Posted : Saturday, May 14, 2011 9:28:46 AM
Rank: Member


Joined: 8/8/2009
Posts: 170
Cde Monomotapa wrote:

Your analysis brings out good business sense and sure loading skype onto existing products & charging a couple more coins on top makes sense. ....


Antitrust violations?
drake
#11 Posted : Saturday, May 14, 2011 9:30:37 AM
Rank: Member


Joined: 8/8/2009
Posts: 170
Sober wrote:
why did microsoft cough all that amount to buy it. they would have just downloaded it for free like most of us.


*dead, never to rise*
Sorry, but I have to "steal" this one
Cde Monomotapa
#12 Posted : Sunday, May 15, 2011 3:13:16 AM
Rank: Chief


Joined: 1/13/2011
Posts: 5,964
drake wrote:
Cde Monomotapa wrote:

Your analysis brings out good business sense and sure loading skype onto existing products & charging a couple more coins on top makes sense. ....


Antitrust violations?

>>>thanks.that came to mind hope they won't be back in the courts. I would like to think they knw ways around that now.
sparkly
#13 Posted : Sunday, May 15, 2011 11:18:28 AM
Rank: Elder


Joined: 9/23/2009
Posts: 8,083
Location: Enk are Nyirobi
Is microsoft biting more than they can chew? Are they now relying on M&As for growth rather than product and market development? Is this sustainable.did i hear elsewhere that Apple is now the most profitable IT company followed by Google? IT experts shed light please.
Life is short. Live passionately.
quicksand
#14 Posted : Sunday, May 15, 2011 4:11:43 PM
Rank: Veteran


Joined: 7/5/2010
Posts: 2,061
Location: Nairobi
M&A works if there is a proper strategy in place. Look at Oracle, they bought Sun, Siebel and BEA and acquired deep software assets that would have been too expensive and time consuming to build on their own. Microsoft have in the past made an acquisition because it is a threat to them, then proceed to quash it rather than integrate it properly. Google the Danger/Hiptop platform - they could have had everybody's lunch on the smartphone arena, but they systematically killed it cause it threatened their Windows Mobile platform. Where is Windows Mobile now? They misread the potential of the internet and tried to dilute the Java platform by offering the broken J++ one instead; It backfired. It is not the acquisition that is the problem, its the strategy. Ballmer is too rigid to spur new growth of the company; If he lets someone else, who is more tech savvy manage Skype's integration into the Windows ecosystem, it might just work. Time will tell.
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