Friday, June 02, 2006

Microsoft To Buy eBay?

Net is awash with rumors since New York Post published a story about Microsoft acquiring eBay. If this story is true, then it would take Microsoft in to uncharted eCommerce territory.

Google has been gaining currency over the years and is now moving in to Microsoft's core business. It is apparent that Bill Gates and Steve Ballmer will have to act. But, to buy eBay at USD 48 billion+ would be an expensive proposition What would Microsoft get in return? Is it eBay auction engine and customer or eBay new VoIP acquisition Skype. This is what a Gartner analyst had to say about the possible acquisition..
"[Microsoft] can either improve MSN to make it more of a real competitor to Google, or it can take a different approach, for example by buying eBay," said Martin Reynolds, an analyst at Gartner. "Google is quietly creeping up on Microsoft, and eBay would take Microsoft in a whole new direction."
After the failed SAP merger, Bill Gates has wanting acquire something big and this might be it.