US based software giant Microsoft,
has acquired Aquantive, the digital
marketing firm, for USD 6 billion in
an all-cash deal.
Microsoft's buy of Aquantive is
expected to boost Microsoft's presence
in the online advertising market,
which has already been targeted by
Google and Yahoo, Microsoft's main
rivals. Aquantive is an advertising
agency which advises website
publishers and other clients to
publish advertisements on the net and
thus connects buyers and sellers.
Microsoft's offer of USD 6 billion,
which is valued at USD 66.50 per share
is 85% more than the closing price of
Aquantive on Thursday.
Kevin Johnson, head of Microsoft's
platforms and services division, said,
"This deal takes our advertising
business to a new level. We are
committed to earn a bigger slice of
the £40bn pie that's growing."
Microsoft's Aquantive buy comes close
on the heels of the buys by other
software majors, Yahoo and Google,
which bought Right Media Exchange and
Double Click for USD 3.1 billion and
USD 680 million, respectively.
The Microsoft-Aquantive deal is
expected to be complete by the first
half of 2008 and the deal is subject
to regulation. Aquantive, which has
2600 employees will continue to
operate from Seattle and will be a
part of Microsoft's online operations.
