Is Microsoft Considering Buying AOL?
PrintThroughout most of the 1990s, it would be pretty easy to figure out why anyone would want to purchase AOL, then a thriving online entity. But in 2010? We just don't see the draw. That doesn't mean no one else does, and according to Business Insider's Nicholas Carlson, insider sources have been chirping that AOL is in negotiations with Microsoft about a buyout.
This isn't the first time AOL has been mentioned as a potential acquisition target in recent times. In 2008, Yahoo came close to purchasing AOL before talks between the two companies broke down. Could Microsoft realistically be picking up where Yahoo left off?
"While there is strong strategic rationale behind such a deal, [it] doesn't seem likely," said Clayton Moran, an analyst for Benchmark Co., in an interview with Reuters. "We think Time Warner pursued a sale of AOL prior to spinning it out and wasn't able to find an interested enough buyer."
Then again, Microsoft is doing everything it can to improve its position in the search market game, and acquiring AOL would certainly help, even if the $2 billion to $3 billion asking price is a bit steep.
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Trooper_One
June 08, 2010 at 12:00pm
No one uses that service anymore... why is MS sinking into a losing venture?!? This is not a way to beat Mac and its iStuffs
Slugbait
June 08, 2010 at 11:48am
Not many people go to AOL's site to search, so purchasing them just to convert it from Google to Bing isn't that attractive. They wouldn't do it for IM user base, since world-wide, WLM crushes AIM. MSN Explorer was a colossal failure, and MSN is well aware of how much churn AOL has suffered. Finally, Mr. Ballmer dodged a 50mm bullet when his offer to buy Yahoo with an insane amount of money fell through.
I don't see the rational in MS buying AOL
digitalreflex
June 08, 2010 at 9:05am
I just went to AOL for the first time in ages. It looks to be just a portal site now, similar to MSN, so maybe they are just looking to increase their userbase for portals and also from the AOL email addresses still in use (my father uses DSL now, but still uses his old AOL address).
tkid124
June 08, 2010 at 11:50am
AOL has a large user base and, and as a portal to Bing search along with whoever is left on AOL chat they could make up some of the asking price in a hurry. It is also possible that AOL is in foreign markets quite strongly. Possible, not overly likely.
tkid124
June 08, 2010 at 11:50am
AOL has a large user base and, and as a portal to Bing search along with whoever is left on AOL chat they could make up some of the asking price in a hurry. It is also possible that AOL is in foreign markets quite strongly. Possible, not overly likely.
BigC
June 08, 2010 at 7:28am
Out of true geekiness I dont care.
But also from my stand point, what is aol?
The last time I heard of it, it was a piece of crap.
Talcum X
June 08, 2010 at 7:37am
They proably just want to disolve it so they can have a larger IM user base... It's a dumb move if they do. If they want to throw money away, throw it my way.
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