Tuesday, May 10, 2011

The battle to buy Skype: Facebook v Google

Facebook and Google are separately considering a tie-up with Skype after the web video conferencing service delayed its initial public offering, two sources with direct knowledge of the discussions said.

Facebook chief executive Mark Zuckerberg has taken part in internal discussions about buying Skype, according to one of the sources. Another source said Facebook had reached out to the Luxembourg-based company about forming a joint venture.

Google has also held early talks for a joint venture with Skype, the second source said. A Skype deal could be valued at $US3 billion to $US4 billion, the first source said. Skype's IPO is expected to raise about $US1 billion, several other sources said.

Source

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