Microsoft reportedly has no interest in acquiring Nook Media, despite rumors to the contrary.
Rumors circulated last week that Microsoft was interested in purchasing Nook Media, the Barnes and Noble subsidiary responsible for the company's e-readers and tablets. According to a new report, however, Microsoft has no interest in a potential purchase.
The rumored deal – a $1 billion purchase of the subsidiary Microsoft already invested $300 million in – would have supposedly resulted in Nook Media ceasing operations of its Android tablets. The problem is, according to a new report, the rumor isn't even remotely true. Microsoft is not in negotiations to buy the Barnes and Noble subsidiary, it's not trying to convert the Nook line to Windows 8, and the original rumor wasn't fact-checked with anyone in a position of power at Microsoft – at least if this new rumor is to be believed.
A "highly placed source inside Microsoft" allegedly told Insider Monkey that the company was surprised when it first heard the rumor, adding that there's nothing eminent in the works.
"This deal was nothing more than a rumor. Microsoft Corporation will not come out and deny or confirm for legal reasons, but the company has no intention of acquiring the Nook unit," the source allegedly said. "Nook is closely integrated with Android (hence their recent Google Play feature), and there is no way it could be ported to Windows 8. This was simply something TechCrunch rushed to report with no fact-checking."
No deal will happen in "the foreseeable future," the source said, noting that Microsoft is consistently evaluating its options.
Barnes and Noble has faced difficulties competing against Amazon's Kindle line of e-readers and tablets, but the rumored deal sent the company's stock soaring from $17.77 a share to $23.31 in just two days, as the rumor indicated Microsoft would offer $27 per share to purchase the Nook Media subsidiary. The stock has slowly fallen in recent days to less than $20 a share, however.
Source: Insider Monkey | Image via Microsoft