Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Apple Tankwatch -- Ignore unavailable to you. Want to Upgrade?

To: zax who wrote (20280)	7/2/2012 11:18:08 PM
From: Jeff Hayden	Read Replies (2) \| Respond to of 32680

I think Microsoft's golden geese are dying. Caught an ad that Windows 8 will sell for $22 as an upgrade to 7. That's close to giving it away. Microsoft headed toward quarterly loss? updated 08:00 pm EDT, Mon July 2, 2012 Absorbing one-time $6.2 billion charge for poor ad performance Microsoft is taking a one-time $6.2 billion charge to offset the lack of revenue from aQuantive, an ad service it purchased. The non-cash charge is likely to drive Microsoft $1 billion into the red for its fourth fiscal quarter ending in June, assuming estimates of $5.3 billion in profits pre-charge are correct. Quarterly results from the software giant are expected on July 19. Since Microsoft purchased online advertising service aQuantive for $6.3 billion in 2007, Microsoft's online department has reported $9 billion in losses. To counter Microsoft's purchase, Google purchased aQuantive competitor DoubleClick in 2008. DoubleClick earned Google $9.7 billion in the last year on $38 billion in revenue, primarily from advertisements. At the time, the aQuantive deal was the largest in Microsoft's history, and still stands as the second largest today. Only the $7 billion acquisition of Skype eclipses the 2007 deal. The company said in a statement that "the aQuantive acquisition continues to provide tools for Microsofts online advertising efforts, the acquisition did not accelerate growth to the degree anticipated, contributing to the write down." Microsoft doesn't expect any long-term damage to its ongoing business or future financial performance from the charge. Microsoft stock lost 13 cents today to close at $30.43. Read more: electronista.com