Tuesday, November 12, 2013

Mergers and Acquisitions

Hi all!

Okay so after researching more information about my article I decided to do this blogpost all about mergers and acquisitions. Upon researching my topic I found that media de-convergence is difficult to find information about it because there are limited sources available about it, in fact, when googling media de-convergence many of the sources were for Jin's article itself. So I decided to dedicate this blog post to mergers and acquisitions, which is what Jin based his research off.

To begin, Investopedia defines mergers and acquisitions (M&As) as "transactions that bring separate companies together to form larger ones." For those of you who are not familiar with M&As the companies who partake in them are often divided and broken up in this process. M&As often make the news because it the process of companies becoming more and more powerful. This is often looked at by the general public because companies they often use are bought out and so by force, they must change companies no matter what.

For the article, Jin specifically looked at M&As that were part of the mega-deals. Many of the M&As that occurred in the media and communication industries are worth millions, if not billions of dollars according to Investopedia.

Two specific M&As that Jin focused on in his article was the merger between AOL Time Warner and Vivendi Universal and the merger between Viacom and CBS. Jin focused on the AOL Time Warner and Vivendi Universal because it was largest M&A of its time, worth $164.7 billion. Viacom and CBS was no laughing matter however, that M&A went for $13.6 billion. Both of those M&As failied and resulted in the spin off the converged companies.

Well, there is some support for Jin's idea.

See you all later,

Kyle

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