Facebook – Microsoft or IPO Update

Yes, I was wrong. Just on timing so far.

A Facebook IPO at this point is risky. The growth is fast in numbers, but the inkling of a model is not. A $10 billion IPO could flop if click throughs and Ad issues are not rock solid.

Microsoft, on the other hand, can risk the price, and can’t not risk Facebook going public and being right. It just makes sense for Microsoft to pay up.

I would add that Microsoft is hanging on in much of their legacy businesses right now. Take Fred’s post for example . Blackberry is keeping Microsoft alive to so many Outlook/Exchange users. Google can deal a blow as Fred outlines.

Just do it already Microsoft and make the purchase.

Disclosure – No Positions