Monday, October 09, 2006

Google and Youtube......From here tube eternity

After the stock market closed today. Youtube and Google announced the deal. Youtube will be run as with some autonomy.

The deal was for $1.65 billion in stock. The deal will close in the fourth quarter of this year. At current valuations, this will add around 4 million more shares to GOOG's float. With current projections that will take about $.04 out of the EPS.

Will it be good for GOOG?

Only time will tell. As I said in the previous post, I believe it was a deal that GOOG had to make.

Good luck investors

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