October 10, 2007 10:50 AM
Google Goes Shopping Again, Buys Jaiku
If you are the world’s leading search engine with your stock reaching a value of $600 per share, its not surprising that you’d go on a company shopping spree every so often. In the case of Google, company buyouts has become a usual habit. Makes you think if the big G is actually following the heels of Microsoft who was once a web giant like Google.
So, the latest victim, or lucky beneficiary, however you want to put it, is microblogging startup Jaiku which for some might be a never been heard before startup. Some analyst are even wondering why Google decided to buy Jaiku instead of the more popular microblogging site Twitter. But then, we were all free to question Google’s corporate strategy for all we want.
Let me join those who are questioning the announcement and ask why Google bought Jaiku instead of Twitter. For one, Twitter might not be up for sale after all or if it does, maybe the Twitter owners fear that if Google acquires them, they might end up being some other Google acquisition which was left to rot in the Google startup freezing machine.
Another reason was given in the Jaiku-Google Q&A:
..we'll be working with the Jaiku team over the coming months to expand their technology in ways we hope you'll find interesting and useful
Expanding Jaiku’s technology may very well be a valid reason for the acquisition but a more appropriate one would be, to expand its Adsense platform base.
At the end of the day, it is still is about making tons of money, to buy another company.
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