Microsoft $6 billion investment is a dud

July 3,2102
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Microsoft's bid to take on Google advertising didn't do any good. Microsoft bought aQuantive an online advertising company in 2007  for $6.3 billion in cash buying which turned out to be a dud. The company on Monday announced that it take a $6.2 billion charge related to its 2007 acquisition of aQuantive. The charge is expected to remove out any profit for the company's fourth quarter. Microsoft may report its fourth-quarter net profit of about $5.25bn on 19 July.

Microsoft in it's statement said "While the aQuantive acquisition continues to provide tools for Microsoft's online advertising efforts, the acquisition did not accelerate growth to the degree anticipated."

aQuantive take over is the second biggest for Microsoft after Skype which it bought for $8.5 billion. The interesting fact is Google bought DoubleClick for $3.2 billion the same year Microsoft bought aQuantive for $6.3 billion. Google in 2011 earned $9.7 billion while Microsoft Online division had made $9 billion losses since it bought aQuantive.

The announcement by Microsoft didn't effect it's stock much on Monday.

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