Microsoft Invests $240 Million into Facebook

So the bidding war is finished, Microsoft wins over Google for a stake in Facebook. Microsoft will contribute $240 million into the upcoming round of financing for Facebook, giving Microsoft about a 1.6% stake in the privately held site.

With Microsoft set to own only 1.6% of the site for $240 million, that means that Facebook is valued at some $15 billion total. Especially for a site that is only three years old, there are a lot of skeptics as to its true value. Then again, if Facebook is really the MySpace killer then $15 billion is all but legit.

What I am curious to see is if Facebook decides to go public in the next year or two. It really wouldn’t surprise me as an investor and I think there is a big advantage to doing so. Why? That way I can make money off of it of course twisted . (read more at MarketWatch.)

More on this topic (What's this?)
Google vs. Microsoft: Crossing the Bule-Ocean, Red-Ocean Divide
Google vs. Microsoft: Blue Ocean vs. Red Ocean Stock Pricing
Read more on Microsoft at Wikinvest

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-- Posted by Blain Reinkensmeyer on October 25, 2007 at 3:19 pm --

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Comments on "Microsoft Invests $240 Million into Facebook" are closed.
Comment by thewild1
2007-10-25 22:44:37

its crazy how they valued facebook at 15 billion.. talk about a jackpot

 
Comment by Jorge
2007-10-26 08:17:34

The era of the dot com is among us again!

 
Comment by Airelon
2007-10-28 09:25:32

I was thinking the same thing Jorge.

Although I wonder if this time around, if it isn’t going to be a bit of a mature run. Before I turned to investing full-time, I was in I.T. I have been saying for a years: The Internet is still in it’s sheer infancy. I would compare the Internet of today, to the pre-Model T automobile. Until we reach the day that it sees it’s maturity - there will no doubt be many bubbles along the way.

But I wonder if we’re not in the next ‘phase’.

 
Comment by Aleks
2007-10-29 09:11:40

Nice way to waste money…IMO

 
Comment by Clara Subscribed to comments via email
2007-11-23 12:39:29

I’m new to this and have a question. Other than the media how else would I know when Facebook goes public? I would like to do a little investing on it.

 
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