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Forums - Microsoft Discussion - Salesforce wanted Microsoft to buy them for 70 billion dollars!

 

Is 70 billion too high?

Yes! Way too high! 85 66.93%
 
Nope, just right. 3 2.36%
 
Way to low. 17 13.39%
 
They already have cloud p... 21 16.54%
 
Total:126
JRPGfan said:
onionberry said:


 "it is one of the most highly valued American cloud computing companies with a market capitalization of $50 billion,[6] although the company has never turned a GAAP profit since its inception in 1999" -wikipedia 


That makes it 50 billion $ overpriced.

If the damn thing has never made 1 cent of profits, how the hell is it valued at 50 billion $?

 

I think alot of this cloud crap is highly overrated.

I think MS is better off not tossing all that cash out the window.


Modern capotalism is not about making profit anymore.

Amazon never turned a real profit either.



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Way too high.



kitler53 said:
Turkish said:

With that money I'd buy Twitter, Netflix and Alibaba combined instead of a company that never turned profit and no one has ever heard of.


really surprised so many are saying "a company no one has heard of".  you guys must be young because salesforce is massive in corporate america. 

and a company doesn't need to be profitable to be valuable.  you can run a company for profit or for growth,.. salesforce has been in growth mode and making massive strides in revenue and market penetration.  this is important because once a company transitions to profit mode a 1% profit margin on a billion in revenue is a lot more than 1% on a million in revenue. 


"you guys must be young", "massive in corporate america" Really, what kind of reasoning is that? Everyone outside corporate america is young?

 

I expect salesforce bubble to burst within 5 years. Sooner or later people will want to see some of their investments back, and if other cloud solutions prove to be better, they'll abandon them.



Turkish said:
kitler53 said:


really surprised so many are saying "a company no one has heard of".  you guys must be young because salesforce is massive in corporate america. 

and a company doesn't need to be profitable to be valuable.  you can run a company for profit or for growth,.. salesforce has been in growth mode and making massive strides in revenue and market penetration.  this is important because once a company transitions to profit mode a 1% profit margin on a billion in revenue is a lot more than 1% on a million in revenue. 


"you guys must be young", "massive in corporate america" Really, what kind of reasoning is that? Everyone outside corporate america is young?

 

I expect salesforce bubble to burst within 5 years. Sooner or later people will want to see some of their investments back, and if other cloud solutions prove to be better, they'll abandon them.


to be a part of corp america you need a job which means you are at least 22 years old. i don't expect many high school/college age people will have heard of salesforce. 



kitler53 said:
Turkish said:


"you guys must be young", "massive in corporate america" Really, what kind of reasoning is that? Everyone outside corporate america is young?

 

I expect salesforce bubble to burst within 5 years. Sooner or later people will want to see some of their investments back, and if other cloud solutions prove to be better, they'll abandon them.


to be a part of corp america you need a job which means you are at least 22 years old. i don't expect many high school/college age people will have heard of salesforce. 


Are you really that oblivious? How old are you? I'm not even living in the US. Even if I was, I doubt I'd have heard of it.



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Turkish said:

With that money I'd buy Twitter, Netflix and Alibaba combined instead of a company that never turned profit and no one has ever heard of.


yeah, it's just one of the biggest and most widely used CRM service in the business.... But yeah CRM are just one of the most capital management variable... So yeah sales force is just a silly investment... A company that destroyed almost all historic leaders in the field within a few years must be worthless



sabvre42 said:
mountaindewslave said:

ehhh at some point you do have to criticize a company for using insanely low margins to kill the competition. I appreciate the short term advantages it provides consumers, but in the long run it will just hurt the consumers. why? because while we get low prices from Amazon now, their competition (mostly storefront retailers, and other smaller online 1st and 3rd party stores) suffer and fail because they can't match said prices. eventually those businesses will die out from worse sales and then we will be left with only a few big retailers like Amazon. at the point in which an 'Amazon' does that they are then able to basically determine market prices on goods because of the limited competition. obviously Amazon is primarily targeting the online market but still

its similar to why Wal-mart gets a lot of heat. low prices are great, sure, but when you're literally selling some things so low that you LOSE MONEY as a company, simply to eliminate the competition, that's not really good business. and in the end it hurts the consumer because in capitalism the more competition there is the more reasonable the rates/prices. not a set rule obviously, as sometimes the quality of things will make higher prices appropriate depending

and when a Wal-mart (or its equivalent in any field) is paying its employees the absolute minimum or simply just manufacturing everything overseas for practical slave labor it begins to become both a short term ethical problem and a long term consumer-price problem that will bite back in the future

 

at any rate the same sort of applies with Microsoft, they obviously were considering purchasing Salesforce to become dominant in cloud services

Just checking... but do you know what salesforce is... or what they do? 

In this thread i've seen several people sort of insinuate that salesforce is some form of cloud computing company because they say someone else mention the word "cloud".

Just to clear things up -- Salesforce is a CRM (Customer Relationship Manager). Its used to store customer data and all interactions between the customer and some point of contact within the company. It is also used to generate sales leads and follow up on these leads. Some companies also use it for additional uses.

Back to the Amazon piece -- they aren't the same as Walmart. Walmart sells crappy quality items for cheaper prices then competitors, or the same produce for practically the same price. Amazon on the otherhand aggegates multiple vendors into one sales list and lets the consumer see the cheapest price. In terms of books -- publishers got all rear-hurt because they were forced to lower the costs of digitial distribution; you know, the same thing everyone whines about with digital games?

Amazon is also innovative. Instead of simply being a retailer like walmart (with good profit margins), they are a retailer that has expanded into multiple different venues. Amazon is now THE leading cloud server company (Azure isn't as good), is a strong rival to apple in digital-good reselling, are creating new products such as Kindle, Kindle Fire, Fire Phone (fail i know), the Fire TV, and the Echo (we actually love our echo). Heck there are even rumors that amazon might enter the console market space. 

bite me azure is better than AWS... Amazon is just leading in market share mostly because they've been market ready before azure... Don't get me wrong amazon solution is excellent but azure is just like the sports car of cloud solution.



Yep way too much if you ask me, I have no idea how long it would take to make that money back.



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15% voting its too low. Lol.



That's too much money, lol.



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