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Posted: 28 Oct 2012 03:24 PM PDT
Rumors are building that Microsoft is preparing to make a bid for Netflix. Rumors that have helped the Netflix stock price jump considerably. But does the unsubstantiated rumor make any sense, or is it just a shot in the dark?
Microsoft Buying Netflix?
The rumors that Microsoft was preparing to buy Netflix reportedly spread like wildfire around Wall Street last week, with the tipping point likely to have been Netflix CEO Reed Hastings stepping down from the Microsoft board of directors. An incoming acquisition bid could be the reason for this move, but there are many other possible reasons too, including the fact that Hastings is too busy to fulfill his role.
CNET is reporting that the rumors claimed Microsoft is willing to pay $90-per-share to get Netflix. Which seems reasonable, especially as the company is now on the rise again after its troubles of 2011. The rumors meant that Netflix stock rose by over 10 percent on Friday (Oct. 26).
It All Makes Sense
Does a Microsoft acquisition of Netflix make sense? Yes, very much so. Assuming Netflix is going to continue climbing once more Microsoft could nab itself a bargain, and it has plenty of cash in hand it could use for acquisitions.
Netflix would be a good scalp to capture as Microsoft seeks to expand out from being all about Windows into a company with much wider interests. Netflix would immediately fit into the Xbox strategy, and also give Microsoft a presence on that huge range of home and mobile devices Netflix is already an integral part of.
Conclusions
So, it makes perfect sense, but it remains just a rumor for the time being. This could be nothing more than a play to raise the Netflix stock price, but it’s a gamble as if Microsoft doesn’t then come a-knockin’ the price could fall harder than ever.
Darwin’s survival of the fittest theory is one of the most recollected and most referred to theories of all time. Any time someone does something less than intelligent, people often refer to the theory. The theory, of course, states that the weaker members of a species will die off and the most fit and able of the species will survive. Most humans don’t generally have to fight off predators in their normal living environments these days, but their lack of intelligence and forethought may be their own worst enemy.
In fact, there are enough examples of people’s lack of intelligence resulting in their death that these examples have been included in the Darwin awards. From a man putting exploding chewing gum into his mouth and having his head blown away to another man trying to balance on a seventh floor railing and plunging to his death, there are numerous examples of stupidity being a cause of death. These are modern examples of Darwin’s theory being put to the test.
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http://www.bestnursingmasters.com/darwin-awards/
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Geeks and nerds are constantly feuding over relative coolness. Geeks claim that they are superior due to their normative social skills. Nerds have the uniformly high intelligence that practically guarantees them entrance into Ivy League universities. Geeks win this battle because geekdom is a self-selective universe. Anyone with a geeky hobby can be a geek. Nerds are nerds whether they like it or not; the label is applied to them by others and there is not much they can do about it.
Being called a geek is a good thing, whereas being called a nerd is an insult of the highest order. A geek’s skills and knowledge can be put to use in his career for financial gain. A nerd may have many talents, but very often a nerd’s abilities do not translate into any tangible real-world benefits. Geeks embrace their identities, sometimes proudly wearing geeky clothes as badges of honor. Nerds are identifiable by their straightforwardly awful fashion choices.
