Google and Facebook In Talks to Acquire Skype
Both Google and Facebook are in early talks with Skype about a possible acquisition or joint venture according to a report by Reuters. The deal could be valued at $3 billion to $4 billion. Skype is slated to do an IPO in the second half of 2011 in which it expects raise about $1 billion. A Skype acquisition by either of these companies would be beneficial.
Facebook has supposedly been looking to implement video chatting/calling in their chat service for quite some time now and this would be a perfect way to do it. Google recently enabled video calling on Android using Google Talk, but a Skype acquisition would provide Google with even better technology. And let’s not forget, an acquisition would mean Facebook or Google would gain access to Skype’s intellectual property portfolio.
I’m still one who believes Apple should acquire Skype. At $3-4 billion that’s a great price for a company with over $60 billion in cash reserves.