Sometimes tech mergers look good on paper but flop in practice; here's a look at some of the biggest tech merger failures
eBay and Skype
The Potential: Online auction giant eBay bought an Internet telephony upstart called Skype in 2005 for $2.6 billion hoping online buyers would prefer VoIP and video calls over email. Wrong!
Why it Failed: Email is good enough for online buyers and sellers. Nobody on eBay, it turns out, wants to talk. This was a tough and expensive lesson for eBay. After four unfulfilling years eBay sold Skype at a loss to private investors for $1.9 billion. Skype was picked up by Microsoft in May 2011 for a cool $8.5 billion.
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