[Infowarrior] - Microsoft clinches Facebook deal

[Richard Forno]

Microsoft clinches Facebook deal
Wednesday October 24, 5:07 pm ET

SEATTLE (Reuters) - Microsoft Corp (NasdaqGS:MSFT - News) said on Wednesday
it would pay $240 million for a 1.6 percent minority equity stake in
Facebook in a deal that values the popular social networking Web site at $15
billion.

The world's largest software maker was bidding against Web search leader
Google Inc. (NasdaqGS:GOOG - News) for a stake in Facebook and the right to
sell advertising for Facebook outside of the United States.

Microsoft said it would be the exclusive third-party advertising platform
for Facebook which has more than 49 million Internet users.

Google and Microsoft, now rivals for Internet-based audiences and
applications, each expressed interest in a minority stake in Facebook for
its growing user base and advertising potential.

The rivals have butted heads before for Internet properties. Google beat
Microsoft with a $1.65 billion acquisition of online video sharing site
YouTube last year.

(Reporting by Daisuke Wakabayashi in Seattle, Eric Auchard in San Francisco)

http://biz.yahoo.com/rb/071024/facebook.html?.v=3