Time will tell if this was a "moronic' move...
Mountain View Internet giant Google will buy YouTube for $1.65 billion in Google stock.
Making the deal official, the two companies announced the purchase -- which had been widely expected since late last week -- this afternoon just after the stock market closed. In an effort to benefit from its well-known brand and legions of users, YouTube will continue to operate as an independent site.
Meanwhile, from this update:
Microsoft, whose MSN Video ranks fourth in the online video market, last month launched Soapbox, a competing video-sharing service.
``We evaluated acquiring this type of technology several months ago,'' the company said in a statement today. ``We...believe building our own solution is a more cost-effective way to compete in this new space.''