‘Skype to Go’ as Microsoft edges towards $8.5 billion purchase

[Technology Contributer,Vinson Binter]

A deal not made in heaven analysts are saying, as Microsoft Corp limbers up to buy troubled social networking giant, Skype, for $8.5 billion.

If the deal goes through, it will be Microsoft’s biggest and will enable the company to give Google a good run for its money in the Internet and mobile phone communications area, but at a considerable price it seems.

That is because, Skype, with its 145 million users, has not been doing that well. Last year it lost $7M on revenues of $860 million and analysts are worried that Microsoft, at that purchase price will never be able to generate enough sales for payback and profit on the deal.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s