Microsoft’s $13 Billion OpenAI Investment Is A Genius Strategical Move.
Daimler (Mercedes) merged with Chrysler for $37 billion. Then, nine years later, they sold it for $7 billion. This is the definition of a bad business decision.
Disney acquired Marvel for $4 billion in 2009. Thirteen years later, Marvel is valued at $53 billion. Two of their recent superhero movies grossed $4.7 billion in revenue. That’s the definition of a good investment.
Then there’s Facebook acquiring Instagram for $1 billion. Bloomberg estimates that Instagram is worth over $100 billion today. That’s not just a good business decision. It’s winning the lottery by smartly choosing the right ticket.
Now let’s talk about Microsoft’s OpenAI investment, in which they’ll own around 49% of the company.
There are no friends in the business world; there are competitors and more competitors. Google and Microsoft are two of the most known tech names. Are they friends? Nobody cares. It’s all about a single product. Which product is better? Google Drive or Microsoft Onedrive? Excel or Google Sheets? Gmail or Outlook? Powerpoint or Google Slides? Google Search or Bing? The answer to that last one is Google search. Bing is horrible. But here’s what you should’ve…
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