Report: Microsoft Considering Nook Acquisition for $1 Billion
Rumor has it Redmond is going shopping.
Microsoft is apparently considering buying part of Barnes & Nobles' Nook business. TechCrunch cites internal documents in reporting that Microsoft Microsoft is offering to pay $1 billion to buy the digital assets of Nook Media LLC. The deal would see Microsoft acquire the digital assets of Nook Media. The company's Android-based tablets would apparently be phased out by the end of next year while the Nook ereaders are expected to suffer their own "gradual, natural decline." Focus will switch to distributing content via apps on "third-party partner" devices.
Microsoft last year announced a multimillion-dollar 'strategic partnership' with Barnes & Noble that saw the Seattle-based company put $300 million into the book company's Nook business. The partnership resulted in the formation of a new B&N subsidiary, Nook Media, which is comprised of the digital and college businesses of Barnes & Noble. Microsoft's $300 million investment was enough to net it a 17.6 percent stake in the new company. If this morning's rumors are true, Microsoft will soon pay a handsome $1 billion to own the entire thing.
Neither Microsoft nor B&N has commented on the rumors. We'll keep you posted!
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Jane McEntegart is a writer, editor, and marketing communications professional with 17 years of experience in the technology industry. She has written about a wide range of technology topics, including smartphones, tablets, and game consoles. Her articles have been published in Tom's Guide, Tom's Hardware, MobileSyrup, and Edge Up.
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vmem hmm, I didn't think M$ was that desperate for tablet marketshare... but oh well, the more competition the better, an alternative to iOS and android is never a bad thingReply -
eijiyuki Why can't Microsoft just come out with their own mini tablet and step over Nook instead of buying them out? What if B&N closes down like Borders next year? Then their outlet for their Nook is gone.Reply -
AndreT It's about the digital assets of nook MEDIA that can then be sold on the Microsoft App store. You know, that thing that is the whole cornerstone of the reason that we even have TIFKAM in the first place.Reply -
beta212 I really appreciate my e-reader, a nook paperwhite, before I got it as a gift I thought that readers were good for nothing, but in truth they are extremely helpful if you ever grow tired of using the tiny screened iphone or the glaring(relatively speaking) ipad.Reply -
tim1935 So buy up the competition, phase out their products, replace with Win8 Tablet variants.Reply