Microsoft makes its biggest acquisition ever

By | May 18, 2007, 6:45am PDT

Summary: You heard it right. Microsoft is shelling out $6 billion in cash to buy a digital-advertising company. It’s the biggest acquisition in Microsoft’s corporate history.

Microsoft is shelling out about $6 billion in cash to buy digital marketing/advertising vendor aQuantive.

The aQuantive buy marks the biggest acquisition in Microsoft’s corporate history. (So much for the idea that Microsoft isn’t into big acquisitions. Guess a Google-DoubleClick deal, on the heels of a Google-YouTube deal, changed that dynamic.)

aQuantive — the former Avenue A/Razorfish — is based in Seattle (no remote management needed). Microsoft is planning to use its various tools and technologies — as well as its relationships with publishers across all media, from IPTV, to games — to supplement its existing set of digital-advertising wares.

Does this mean Microsoft is dropping its campaign to see the Google-DoubleClick deal killed because of antitrust concerns? No. Microsoft’s official word on the matter is that a Microsoft-aQuantive deal is complementary because their products/services don’t overlap. Google and DoubleClick have strongly overlapping ad-serving businesses, the Softies say.

There’s no doubt: Microsoft wants to be an advertising company as much as a software company these days.

Kick off your day with ZDNet's daily e-mail newsletter. It's the freshest tech news and opinion, served hot. Get it.

Topics

Mary Jo has covered the tech industry for more than 25 years for a variety of publications and Web sites, and is a frequent guest on radio, TV and podcasts, speaking about all things Microsoft-related. She is the author of Microsoft 2.0: How Microsoft plans to stay relevant in the post-Gates era (John Wiley & Sons, 2008).

Disclosure

Mary-Jo Foley

Freelance journalist/blogger Mary Jo Foley has nothing to disclose. WYSIWYG (what you see is what you get). I do not own Microsoft stock or stock in any of its partners or competitors. I have no business ventures that are sponsored by/funded by Microsoft or any of its partners or competitors.

Biography

Mary-Jo Foley

Mary Jo Foley has covered the tech industry for 25 years for a variety of publications, including ZDNet, eWeek and Baseline. She has kept close tabs on Microsoft strategy, products and technologies for the past 10 years. In the late 1990s, she penned the award-winning "At The Evil Empire" column for ZDNet, and more recently the Microsoft Watch blog for Ziff Davis.

Got a tip? Send her an email with your rants, rumors, tips and tattles. Confidentiality guaranteed.

Talkback - Tell Us What You Think

Formatting +
BB Codes - Note: HTML is not supported in forums
  • [b] Bold [/b]
  • [i] Italic [/i]
  • [u] Underline [/u]
  • [s] Strikethrough [/s]
  • [q] "Quote" [/q]
  • [ol][*] 1. Ordered List [/ol]
  • [ul][*] · Unordered List [/ul]
  • [pre] Preformat [/pre]
  • [quote] "Blockquote" [/quote]

The best of ZDNet, delivered

ZDNet Newsletters

Get the best of ZDNet delivered straight to your inbox

Facebook Activity

White Papers, Webcasts, & Resources