Google Aggressor pwns Microsoft, buys DoubleClick for $3.1bn CASH

[MarkG]

Google buys DoubleClick for $3.1bn cash

Internet text-ad broker Google has purchased leading computer-tracking cookie provider DoubleClick for $3.1bn cash, the two companies announced today.

The acquisition is Google's largest to date, just six months after purchasing YouTube for $1.65bn in stock.

The move wraps Google's e-tendrils around DoubleClick's extensive portfolio of advertising companies as well as providing a scurrilous how-do-you-do to Microsoft, which was also eyeing the online ad serving company.

Google became a direct competitor to the New York-based DoubleClick when Google began brokering banner ads in addition to its core text ads in 2005. While Google will inherit DoubleClick's extensive advertising software, the real meat of the deal is the relationships with top advertisers and publishers such as MySpace and The Wall Street Journal. We are a DoubleClick customer too.

The purchase is a blow to Microsoft which began bidding for the company in March for the tune of $2bn from the equity firms Hellman & Friedman and JMI Equity. Microsoft has struggled to catch up to Google in the advertising racket, and chances are, will continue do so since Google found the extra billion under the couch cushion. But at least it forced Google to overpay for its latest trophy. Yahoo! and AOL were reportedly window shopping the deal as well.

DoubleClick generated about $300m in revenue last year.

The advertising coup may take some wind out of Yahoo!'s sails which launched Panama (http://www.theregister.co.uk/2007/04/11/yahoo_viacom/), its new contextual! ad! program! in the US late last year and is expected to expand to the UK this quarter.

Google is enlarging its AdSense online network beyond text-based ads as well as testing the waters of television, radio and newspapers. On Wednesday, Reuters (http://today.reuters.com/news/articl...DVERTISING.xml) reported that Google was in talks with satellite TV broadcaster DirecTV over an advertising deal.

The deal raises some speculation on possible acquisitions of online advertising brokers such as publicly traded ValueClick and 24/7 Real Media. ®

http://www.theregister.com/2007/04/14/google_buys_doubleclick/

[Lazerus]

Googles gonna start buying souls next

[Dinner]

pwns or pawns not powns.

[MarkG]

youtube $1.65bn
doubleclick $3.1bn
what can you buy with $6.2bn?

[snoopy369]

I'm curious when Google's net worth will be greater than Microsoft's ... it can't be long now

[Addled Platypus]

battered jumbo pwns....yummmm

[Fake Boris]

Great, now Google is showing up to be an ever greater threat than M$.

[Pekka]

Man, why didn't I buy tons of Google stocks ...

[Pekka]

I was just watching yesterday about Google and the Google 'culture' on msnbc, it was quite nice.

They offered free food, and not just breakfast.. I think they had chefs 24/7 there, then of course they had all kinds of sports things going on for free, healthcare, dentist, bonuses, options and other kinds of perks.

However, one thing that didn't strike me as excellent was the execution of this 'free environment'. THe idea is of course to keep peoply happy, so they're healthy and productive, but also to get all the innovation from the ranks, so that's a big resource for future ideas.

However, to me this just seems like a .. Xerox style from the 70s, except within the limits of what can be done today. I don't find it particularly innovative working culture model, it's pretty nice and better than a lot of the stuff we have, but I think it was almost too much of a laissez-faire. Because it's either that, or behind the canvas they do have more control, so in that case they're just putting on smiley faces for the cameras. Kind of like what the big corporations do, none of it seems real life and we all know it's for the cameras. SUrely the truth is still a bit better than grim, but I find it pretentious to have mottos like "work and play are not mutually exclusive".

You know what I mean?

I still think they're looking like a fairly good company, but there might be .. unhealthy turns of events if they gain too much power, I just don't like that one entity has too much power.

[Straybow]

A billion here, a billion there, pretty soon you're talking big money.

[Kuciwalker]

1) This is a lot more than the paid for Youtube, since Youtube was bought with fake money (Google stock).

2) Goodbye "do no evil."

3) DoubleClick remains blocked.

[Colonâ„¢]

I approve of what the purchase did to GOOG.

[Kuciwalker]

Originally posted by MarkG
youtube $1.65bn
doubleclick $3.1bn
what can you buy with $6.2bn?

Shouldn't that be $5.2bn? I thought they raised only $10bn in the IPO.

[MarkG]

joke of the day

Microsoft unhappy with Google DoubleClick marriage
By John Oates
Published Monday 16th April 2007 15:29 GMT

Microsoft is calling for regulator action to stop Google and DoubleClick merging, saying the deal would be anti-competitive if it went through.

The software giant's general counsel Brad Smith, who has acted for Microsoft in various anti-competition cases, told Reuters: "This proposed acquisition raises serious competition and privacy concerns. We think this merger deserves close scrutiny from regulatory authorities to ensure a competitive online advertising market."

Smith said Microsoft had not talked to regulators, but had talked to other companies.

According to spokespeople, AT&T is also concerned the deal would put Google in a dominant position in online advertising.

But Google CEO Eric Schmidt told the New York Times that Microsoft's claims were untrue. He said it was easy for businesses to switch to rival providers and that other issues would be debated with regulators as the deal went through.

Microsoft was reportedly in the bidding to buy DoubleClick, but was beaten by Google. ®

http://www.theregister.com/2007/04/16/google_double_fears/

[Asher]

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