Theoretically not. Entities take over companies for economic reasons. If the acquiree has bad management problems and the acquiree is economically underperforming and hoarding cash then only one can theoretically acquire the candidate. Here Sony is doing fine and the management seems to be OK. So theoretically is not right to acquire SONY by MS or anyoneelse. Also the price will be high for SONY at this state.
Practically lot of mergers nowadays of globalization happen for other reasons of consolidation and integration of markets, like the Ancelor-Mittal forming the largest steel making conglormorate in the World. Both were well performing companies though Ancelor share holders got it made in the deal with higher valuation which they probably wouldn't have if otherwise.
In this context MS and SONY are in two different markets with a little overlap. So it may not be required for Economic reasons. Antitrust laws sometimes will prevent this move in certain continents like US and Europe since both are spread far and wide across the globe. If it the merged entities hampers competition and will create market concentration then surely the Antitrust wing of SEC and Europena competition commission will block the merger.
2006-12-14 05:18:04
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answer #1
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answered by Mathew C 5
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They couldn´t. Though Microsoft has a lot of market capatiliation, they only had a revenue of 40 million dollars in 2005, while Sony had revenues of 60 million dollars. If they tried to buy Sony, Microsoft would have barely any money left. However they need a lot of money for R&D.
Moreover Sony is not in a very good shape, i.e. they are having lot of problems, like for example with Blu-Ray technology.
And Microsoft has other more serious competitors like Apple or Google. A takeover of Sony would make no sense.
2006-12-14 00:47:41
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answer #2
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answered by londres2424 2
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Microsoft does have the market capitalization do it. But I doubt they would because then they would have more lawsuits against them trying to have a monopoly. There is also the problem with some Japanese laws that might make it difficult for that to happen which limits foreign ownership of Japanese companies.
Good Luck!!!
2006-12-14 00:35:52
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answer #3
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answered by Anonymous
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Microsoft can buy anything or anyone they want... however, wouldn't have thought they could buy the whole company... but certainly a huge share of it!
2006-12-14 00:32:44
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answer #4
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answered by Anonymous
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If Bill Gates decides that he wants Sony, NOTHING can stop him
2006-12-14 00:34:16
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answer #5
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answered by GRUMPY1LUVS2EAT 5
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i like the very truth they ought to keep checking into our console each 24 hours. No have self belief in client and it feels like I gained't even fairly own the console, i'm only paying them money to apply it.
2016-10-18 06:54:18
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answer #6
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answered by benner 4
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yes with cash to spare
2006-12-14 00:39:25
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answer #7
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answered by Anonymous
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no because i wont sell it
2006-12-14 00:33:03
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answer #8
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answered by Anonymous
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