Google's Bid to acquire Groupon has fallen through on Friday. Search Engine and (as well other activities) Online advertisement Giant Google earlier showed an interest to buy the rapidly growing local ad campaign based company Groupon.
According to the WSJ, both the companies were unable to completion on the same point. Main hurdle was the existing shareholders of Groupon, whom were unable to agreeing the terms offered by Google Inc.
According to the market source, Google offered US $ 5.3 Billion for Groupon with further US $ 700 Million subject to fulfill certain standards. Till date Google's largest buy-out is DoubleClick by US$ 3.1 in 2007.
Chicago based company Groupon Inc. has implemented a new business model for local business, currently also started by Social Media Giant Facebook.
According to many Harvard Professors, Google's buying bid of Groupon is not very wise decision as it's not YouTube. They have stated, as they offering huge discounts just to attracts customers, which will not make much sense. For examples: They have offered US $ 7 for a Toy originally priced US $ 15.
Many Google Critics said Google is trying to make a monopoly in Online Ads business, for which still they have to wait; after they failing to seal the Groupon Deal.
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