Microsoft says Facebook deal is worth it

Microsoft says Facebook deal is worth it

Social networking services are coming up by the dozen these days… MySpace.com happens to be the global leader while Facebook is trying to catch up.

Microsoft recently invested in Facebook to gain a small stake in the company. However, the price of that stake had put the total worth of the company at around USD 15 Billion.

Microsoft has now said that the deal is worth it considering it was an important investment decision.

Microsoft Corp Chief Executive Steve Ballmer in fact said in a statement: “We didn’t make a mistake.”

He added: “The valuation of Facebook is still to be determined. Certainly today, it’s very, very popular. So for a company like ours that wants to be a pre-eminent presence in this space, it’s very important for us. Will Facebook be worth $5 billion, $15 billion or $50 billion some years down the line is really up to their team and how they take it forward.”

He added about the possibility of acquiring Yahoo someday in the future: “We want to succeed in the online advertising space. What happens with Yahoo, we’ll all have to wait and see.”