Internet Bubble Version 2.0
I really don't understand the reasoning behind this other than dropping cash for exposure...

Microsoft just announced it is investing $240M for a minority 1.6 percent stake in Facebook, a price that values the social networking site at $15B.

In 2005, MySpace was bought by Fox Interactive Media for $580M. They also signed a deal with Google for $900M so they can use Google's display ads and search on their site.

And we know how Google bought America's Funniest Home Videos YouTube for $1.65B to tap into that audience who can't get enough of soccer goals and people getting hit in the nuts with a wiffle bat want to watch TV from a tiny flash window.

My big question is, haven't we already learned from the Dot-Com Bubble of 2001?!?! Companies are spending more money hand over foot for the next big stake and I'm sorry, I don't see Facebook, Myspace or Friendster being that relevant 5 years from now. Haven't we learned that already from Geocities? Angelfire? TheGlobe.com? Do we really think ads will prevail here? I know brand exposure is the key here, but I really think this money will run out soon.

Makes me think Google is this year's Netscape and Microsoft is this year's AOL.