Forum Moderators: Robert Charlton & goodroi
Google Inc. and Comcast Corp. are in serious discussions with Time Warner Inc. about buying a minority stake in America Online, according to people familiar with the situation.
[online.wsj.com...]
<added by lawman> Another link [thestreet.com] for those without a subscription </added by lawman>
[edited by: lawman at 8:21 am (utc) on Oct. 13, 2005]
Go Google though, this would put the Google Talk IM client right up there.
Next stop, Google Voice will get polished up and we'll all be making audio searches over our Wifi enabled mobile devices.
The internet has once again become an exciting and evolving place.
TJ
Google and Comcast will have to move quickly as Microsoft continues its own overture to AOL. Comcast and Google have not yet drafted a formal plan to invest in AOL, the sources said. One source said the deal, albeit attractive to Comcast, was not "critical" to the company.AOL's talks with Microsoft are much further along, one source said.
"Microsoft has had a head start," the source said. "There have been deal terms and term sheets."
This is going to be a slugfest.
MS and Google have been circling each other for the past year or so, looks like they're ready to finally stop dancing and go toe to toe.
With the Google/Sun deal just announced, and all the other recent threads about the various partnerships among the online giants, (MS/Yahoo joining IM clients, etc), who are we going to see picking sides next?
EBay/Verisign maybe going to the MS side, worrying about Google's new online payment system?
The Open Source community backing Google, out of an inbred fear/hatred of the mighty MS?
The European Union following it's "Anything but Microsoft" tendencies and going with Google as well, maybe in an indirect way?
And the entire Blogging community thinking "Who cares who wins, I'm going to make a pile rumor mongering and writing speculation for the next two years!"
[news.bbc.co.uk...]
Time Warner's chief executive has denied reports that it may be about to sell a stake in its America Online unit to Google and Comcast.
Richard Parsons also said there were no plans for a tie-up with Microsoft's search-engine technology.
Time Warner's chief executive has denied reports that it may be about to sell a stake in its America Online unit to Google and Comcast.
Richard Parsons also said there were no plans for a tie-up with Microsoft's search-engine technology
I wouldn't hold my breath for CEO-statements concerning mergers. I would bet that TWX is talking to both MSFT and GOOG and maybe even others. TWX probably want to get rid of AOL even if this may be a not-so-clever move, now that the Internet gains momentum again.
Personally, I would prefer that AOL goes to MSFT just because GOOG needs to sort their business first before acquiring such a giant. Also, it would take MSN (almost) to eye level with Google, so we would see a healthy competition which in the past has always turned out to be good for the market.
he's loving it. he will sit and watch till the price is high enough, if he wants to sell.Unless Google pays with stock, they don't have enough money (compared to MSFT), MSFT can write a nice check at anytime.
TWX wants a deal that will provide the largest boost to their stock price; preferably one that provides the maximum possible long term strategic benefits.
eBay : Community/eCommerce
AIM/AOL : Portal/Community/Search
eBay buys AOL, eBay = Community^2/Portal/Search/eCommerce/IM/VoIP
Would be funny wouldn't it...
Oh no, they'll just take Google's $300 stock. it worked great with the old AOL and they'll do it again ;)
This would be the first big step to decreasing google's share of the search market, which I think is vital. The only way we'll see more stability is if google's share of search is decreased.
The point made about msn search needing AOL should be well-taken. I don't understands Comcast's interest, but for G it would be a defensive move with little downside risk, depending on the price.
In this case for example, if G would be minority stake, and AOL could make more by switching to MSN search, could G strong arm AOL into accepting the lesser deal?
Content. But even if you ignore AOL's content, it gives them a foot in Time Warner's door. I can't think of any company with as much content as Time Warner. [cjr.org...] (Columbia Journalism Review link so it should be kosher :)) From books, to magazines, cable, HBO, movies. Maybe NewsCorp and Viacom come close.
so it should be kosher
If Google ends up with a minority ownership position in AOL I will be mildly surprised, but in any event that would likely be a relatively small part of the overall deal. In contrast, I would expect Comcast to have a greater interest in holding a more substantial equity stake in AOL.
I would probably not be much affected by an MSN/AOL merger; I have in the past subscribed to both services. MSN's sleazy tactics, such as disabling all POP mail and trying to force all users to use Hotmail, pretty much exclude my ever again patronizing their services. I think that AOL would be better served by a joint venture with a broadband carrier like Comcast, so as to give its customers additional options. If the whispers about Google's investment in broadband over power lines are to be believed, it is possible that both Comcast and AOL could benefit from the expansion of their reach into broadband markets presently controlled by other cable monopolies.
If AOL were spun off into a joint venture with Comcast and Google, would (what is left of) Netscape also end up as part of that venture? Because it would certainly be interesting to see what Google (as a partner in the venture) would do to advance the Netscape brand and browser, as well as the long-neglected Open Directory Project (dmoz). If they went to Microsoft as part of a merger, Netscape would be dead and the ODP would likely continue to fade away.
