“Google represents as both a competitive threat to Microsoft and as Silicon Valley’s latest hope for a new financial boom.” New York Times
Let me take the freedom to take an abrupt start. Why? You are smart enough, guess yourself!
Reports of both Google & Microsoft executive meetings have come up with some disappointing result, recently. Google was found indulged in meetings with Microsoft to bear some fruitful results, yes, it was interested in companionship or even melding up with its contemporary.
On the other hand, Microsoft also had shown clear signs in the search engine business and even gone through every possibility of consolidation with Google.
“Though seemingly spurned, Microsoft may still be interested in pursuing Google at a later date, according to an executive briefed on the discussions.”
It is anticipated that this meeting showed some positive results too when Google agreed to take the former offering course. It is a good omen for Microsoft as Google is a strong threat to its existing partner cum rival.
Although the meetings is apparently turned over up till now, but Microsoft will keep baiting Google till the last minute.
These were the words of the Microsoft executives which they used about the outcomes of the last two month’s meetings.
Google has boggled Wall Street even by planning to sell its shares to the commoners in the first half of the upcoming year. By doing so, Google will galvanize the Silicon Valley into delirium which is just not acceptable for Microsoft and Wall Street as well.
Google seems to be going on the ledge of Netscape which challenged the computer operating system once. Remember Netscape? It was a start-up company in 1995. Its own offerings were going to explode dot-com into fragments. Browsing Software released by it was meant to blast the operating system of Microsoft.
Microsoft altered its business and offered free browsing software to the system as a response to Netscape risks.
Google’s Next Executions
Now Google is trying to do the same by seducing many reputed investment banks like Morgan Stanley, Citigroup, J.P. Morgan Chase Goldman Sachs, Credit Suisse First Boston and Thomas Weisel Partners etc, about sponsoring this offer that is worth $ 15 billion to $ 25 billion. This company is playing smartly by knocking down Wall Street and Microsoft’s business. It is selling shares to the small stakeholders which mean in the long run, this approach will give birth to a number of small shareowners.
Brin and Lary Page are the auction route masterminds. They are the co-founders of Google and are already known for their bringing up technical solutions to all sorts of problems.
Executives affirm that nothing is confirmed as yet. Google is still toying with two different ideas, either to sell shares to the new small investors or to the conventional partner, Wall Street.
10 to 15 percent shares are planned to be sold this time, which will generate up to $ 2 billion. It will generate wealth of the Google employees, early stockholders and venture capitalists.
Story in a Nutshell
Google is a strong rival to Microsoft and can never befriend it. Microsoft also takes it as a strong opponent. But both of them are tied together, desperately. There is a long list to explain it for instance; all Android users are Windows users as well, similarly all Chrome consumers popped out from Windows pit.
Therefore, while ready to knock out each other severely, they can’t do so since it will directly affect their user number. They are between rock and a hard place!