Microsoft seeking buyer for Razorfish

Jul 13, 2009
Microsoft has approached five of the world's biggest advertising companies about buying its digital advertising agency Razorfish, The Wall Street Journal reported on Monday.

Microsoft has approached five of the world's biggest advertising companies about buying its digital advertising agency Razorfish, The Wall Street Journal reported on Monday.

The newspaper, citing "executives familiar with the situation," said the deal could include using Microsoft's technologies and possibly buying hundreds of millions of dollars of ad space across its Web properties.

It said WPP, Omnicom Group and Publicis Groupe have expressed interest in Razorfish and were considering a more extensive commercial relationship with the Redmond, Washington-based US giant.

Microsoft, which has hired Morgan Stanley to shop Razorfish, has also been in contact with Interpublic Group and Dentsu, the Journal said.

The newspaper said the move is the latest bid by Microsoft to compete with Google in the advertising market.

Razorfish has some 2,000 employees and had 400 million dollars in revenue last year. It clients include Best Buy, Mercedes-Benz USA and Mattel.

The Journal said a buyer could use Microsoft's digital ad services or buy ad space across Microsoft's digital properties such as its new search engine Bing, websites, the Zune music player and the Xbox gaming console.

The newspaper cautioned that "talks are preliminary and that any deal isn't likely to happen for at least a couple of months."

It said the price could range widely, from as low as 400 million dollars to "hundreds of millions of dollars more, depending on the technology or ad-buying commitments included in the deal."

Like other ad agencies, Razorfish has been hit by the , laying off employees and closing offices this year, the Journal noted.

acquired Seattle-based Razorfish two years ago as part of its six billion dollar purchase of digital marketing concern aQuantive.

(c) 2009 AFP

Explore further: Judge approves $450 mn deal in Apple ebook suit

add to favorites email to friend print save as pdf

Related Stories

Microsoft, Yahoo! in search, ad talks

Apr 10, 2009

Microsoft and Yahoo! have held "early discussions" about possible Internet search and advertising partnerships, a leading Silicon Valley technology website reported on Friday.

Rupert Murdoch, Tom Glocer support Microsoft-Yahoo merger

May 29, 2008

Two media titans, Rupert Murdoch and Tom Glocer, the head of Thompson Reuters, said they support a partnership between computer giant Microsoft and Internet giant Yahoo, after a deal between the two companies fell apart in ...

US newspaper ad revenue slide continues

Jun 01, 2009

US newspaper advertising revenue fell more than 28 percent in the first quarter of the year with both print and online posting declines, according to the Newspaper Association of America.

Yahoo shares rise following Microsoft ad-deal report

Apr 13, 2009

SAN FRANCISCO _ Shares of Yahoo Inc. bucked the downward trend for technology stocks Monday and gained more than 7 percent, following reports late last week that the company is in serious discussions with Microsoft Corp. ...

Grim US newspaper ad revenue figures released

Mar 27, 2009

Last year was the worst ever for the US newspaper industry with both print and online advertising revenue posting declines, according to Newspaper Association of America (NAA) figures.

Recommended for you

Dish restores Turner channels to lineup

Nov 21, 2014

Turner Broadcasting channels such as Cartoon Network and CNN are back on the Dish network after being dropped from the satellite TV provider's lineup during contract talks.

'Call of Duty' blasts past $10 bn in sales

Nov 20, 2014

Blockbuster military shooter video game "Call of Duty" has blasted past $10 billion in lifetime sales, propelled by demand for the latest installment in the 11-year-old franchise.

Square's point-of-sale service goes global

Nov 20, 2014

Financial services startup Square is taking aim at cash registers across the globe, making its point-of-sale software available internationally in English, Spanish, French and Japanese.

User comments : 0

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.