This recession has dealt a fatal blow to a number of different companies all around the globe. But it’s interesting to see that some sectors are effected more than others. For example, companies that use lots of gearing are particularly exposed to this climate, as money is in short supply. Companies producing real goods are less exposed, but again; it depends on what they are selling. Companies operating in niche markets, like low cost items like bags, or high value items, like oximeters operate in a market that is still exhibiting demand. Mid range items tend to be a bit more exposed; they don’t have the appeal to retain their value and when consumers are looking to save, they switch to lower cost items.
How is YOUR company doing in this recession?
Interesting snippet of news today where it seems like Google is looking to acquire Valve, an entertainment software provider reknowned for gems like Half-life and Counter-strike boasting a portfolio with over 20 million retail units sold worldwide (Valve games account for over 80% of the PC online action market). Lots of folks seem to be curious as to why this Google may be pursuing this acquisition, but a source claims that Google is really after their content distribution network.
There are another two reasons why Google may be after this juicy company. First of all the talent it hires are responsible for some amazing work and could do wonders for Google’s Lively offering. The other option is that it opens up the door to in-game advertising, something Google doesn’t seem to do much of yet. Whatever it is, this space will certainly be fun to watch, as long as Google doesn’t just sit on it and do nothing.
Speculation is rife as to why Microsoft has decided to purchase GreenField Online, on online research company. The answer seems to be it that it was really after Ciao, a leading European shopping comparison website that has a large community of follower who shop and leave reviews on the site. This is due to the fact that Microsoft is really planning on selling off the Online Survey division (which incidentally contributes pretty much most of the revenue Greenfield makes) while retaining control of GreenField. They managed to beat another potential buyer (Quadrange) who also had their eye on GreenField.
This may seem strange, however when you consider that Microsoft is sitting on a massive cash mountain you can start to factor in that eyeballs are more important to them than cash. This acquisition gives them access to a European consumer market which they have struggled to penetrate. We’ll see how it pans out; some say that Microsoft will try and push their own products using Ciao, but I think they’re more interested in the audience than in promoting their wares. I would guess their first step would be to integrate Passport with Ciao to consolidate user identities across the two platforms.