Volkeswagen 'Audi' Buys 'Ducati' To Race With BMW

German VW's Audi has bought the motorcycling giant, Ducati to compete with the growing BMW. The deal is worth 860 million Euros. However, this acquisition brings 200 million Euro debt to VW group. Further details: #-Link-Snipped-#

Replies

  • Anoop Kumar
    Anoop Kumar
    I always wonder how internet advertising industry works. Facebook bought just a application which involves only 12 guys in 1bn😲 to get 30mn more users and here the whole motercycle manufacturing company only in 800mn.😨 .
  • Kaustubh Katdare
    Kaustubh Katdare
    #-Link-Snipped-# : It's the overall 'worth' of the application that brought $1b to Instagram. Instagram had a userbase in millions and it was growing very fast. Facebook knew that if Instagram steals their 'online photo' lunch, then it'd become a serious threat to its own existence. As I wrote earlier, Facebook knows that a large part of their audience logs in only to watch photos uploaded and Instagram was just hitting FB's roots.

    Facebook had lot of cash and it could shell out a billion dollars to acquire Facebook. It had nothing to do with the online advertising (Instagram didn't make any money), or how many people were on the team.

    On the other hand, Ducati decided to sell themselves for 860 million euros (that's a little over a billion dollars, by the way; approximately 1131.5 million USD.). They had a debt of 200 million eurors and the valuations couldn't be bigger.

    By the way, online advertising is a big thing. Google & Facebook make hundreds of millions of dollar every quarter just because of it.
  • ISHAN TOPRE
    ISHAN TOPRE
    Just can't digest these facts. But they are *true*!

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