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May 10, 2011 04:10 pm GMT

Did Microsoft Overpay For Skype? Hell Yes ""  By $4.5 Billion

With Microsoft having confirmed its acquisition of Skype, sources tell TechCrunch Europe that Redmond outbid its closest rival, Google, by almost two-to-one. Meanwhile, Facebook is said to have never been in the running.According to a source who claims knowledge of talks held between all parties, Google came in second at a price of $4B, while Microsoft will be paying $8.5B. This suggests that Redmond is paying significantly over the odds for Skype, although only time will tell if it turns out to be a smart deal. What is known is that had Microsoft been aware of the price that Google was willing to pay it almost certainly would have come in lower.

Original Link: http://feedproxy.google.com/~r/Techcrunch/~3/MZots9xnjzU/

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Techcrunch

TechCrunch is a leading technology blog, dedicated to obsessively profiling startups, reviewing new Internet products, and breaking tech news.

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