Microsoft (MSFT) falls slightly AH after stating its Online Services division will take a $6.2B...

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untrusting investor Comments (9879)
 
How does MSFT continually get these expensive losers? Good thing for them that have a virtual monopoly on operating systems and office suite, otherwise all these bad bets could harm the franchise.
2 Jul 2012, 05:35 PM Reply Like

wigit5 Comments (2578)
 
Yeah this was just a bad bet, I think they should look to drastically overhaul this department or sell it... I'm glad they tried something outside the box for them but it's clear that it isn't a winner for them.

Every now and then you just need to know to cut your losses.
3 Jul 2012, 10:03 AM Reply Like

boston8b Comments (179)
 
Maybe new leders are needed.
2 Jul 2012, 06:48 PM Reply Like

JohnLocke Comments (381)
 
Maybe it is just a hussle to pull cash off the books...

1. Buy a known stinker
2. Push funding off one set of books onto another
3. Cook Books to claim operating losses on both sets of books
4. Move money off of cooked books where ever you want

Stockholders are none the wiser...
2 Jul 2012, 07:22 PM Reply Like

GSlusher Comments (1279)
 
" Maybe it is just a hussle to pull cash off the books.."

Perhaps you didn't read the article. The write-off was NON-cash. According to my neighbor, a CPA and professor of accounting, goodwill impairment is nearly always non-cash.

For JohnLocke and others: "Goodwill" is simply the difference between what Microsoft paid for aQuantive (and other acquisitions) and the total value of aQuantive's assets (essentially aQuantive's "book value"). When Microsoft did an analysis of this "goodwill," they determined that whatever they got from acquiring aQuantive is no longer worth as much as they paid for it. I don't know WHY Microsoft came to that conclusion, but, goodwill can be impaired because of advancing technologies (e.g., company A buys company B for B's patents and technologies, but those become outdated) or changing markets (B's products no longer sell well).
2 Jul 2012, 10:45 PM Reply Like

dividend_growth Comments (2779)
 
It will write down another $8 billion in a few years for its Skype acquisition.
3 Jul 2012, 04:40 AM Reply Like

rjj1960 Comments (1049)
 
50 billion plus with all the purchases and cap ex, and all they have to show for it , xbox........ I have said 5 years ago msft would have been better off buying positions in big blue chip names. Do what Buffet does, after all, doesn't Gates and Buffet go out for lunch at times. Hang this mess all over Steve Ballmer, the luckiest man alive.
3 Jul 2012, 07:05 AM Reply Like

Remyngton Comments (349)
 
Ballmer has to go
12 Jul 2012, 07:19 PM Reply Like