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Technology Stocks : Microsoft Corp. - Moderated (MSFT) -- Ignore unavailable to you. Want to Upgrade?


To: Glenn Petersen who wrote (18881)6/13/2016 7:17:29 PM
From: E_K_S  Read Replies (1) | Respond to of 19789
 
There are 433 milion profiles/registered users in Linked in. At a purchase price of $29bln, I calculate $66.97 was paid by MSFT for each profile/registered user.

I would think $10/00 - $15.00 per profile would be a fair price to pay as many of those profiles become stale over time. However, I guess MSFT see's enough growth and updates of profiles that over time, the database of profiles becomes larger and richer. The discussion on Bloomberg radio today is that MSFT will be using this rich database of users as future clients to different cloud service CRM products/services.

In essence, it's their list of qualified future customers they can sell directly to, to generate all of these new revenue streams once they overlay their CRM software to harvest sales leads from the acquired Linked-In database.

Not sure the MSFT CEO can pull it off. I think Ballmer paid $8.5Bln for Skype so it's just over 3x that not to mention the failed Nokia buy.

EKS



To: Glenn Petersen who wrote (18881)6/14/2016 12:12:01 PM
From: Kirk ©2 Recommendations

Recommended By
Glenn Petersen
The Ox

  Respond to of 19789
 
They are also in a very good position to succeed where the original VCs failed with Suite101. Suite101 VCs tried to extend my success using the platform to market and sell my newsletter to those posting recipes and pictures of cats. When they started to see it wouldn't work, I was made general manager of affiliate revenue besides doing the R&D at Suite101. I had the most success marketing writing tools to the other writers!! LinkedIn now sells their product to their users. MSFT now has something of value to sell AND products (people's labor) to sell globally. They also have all the tools from Office365 to web sites to help people sell and market their wares. At first I was going to sell but now it seems a good, long term play unless I'm missing something such as poor execution or a lack of vision for what I see.