What To Know About Alphabet's Rumored HubSpot Bid
Alphabet is talking to advisers about a possible takeover offer for HubSpot, according to media reports. Here's what you need to know.
Alphabet (GOOGL), the parent company of Google, has spoken to its advisers about possibly making an offer to acquire online marketing software company HubSpot, according to Reuters.
Alphabet met with Morgan Stanley investment bankers on the potential deal, including how much it should offer and whether it would face scrutiny from antitrust regulators, Reuters said, citing people familiar with the matter. No offer has been submitted and there's no certainty that one will be made, the report added.
HubSpot currently commands a market capitalization of about $35 billion, which is well within Alphabet's budget as it ended its most recent quarter with approximately $110.9 billion in cash and cash equivalents. Prior to the news of the potential offer, HubSpot's market cap stood at about $32 billion.
From just $107.88 $24.99 for Kiplinger Personal Finance
Become a smarter, better informed investor. Subscribe from just $107.88 $24.99, plus get up to 4 Special Issues
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
The Justice Department and the Federal Trade Commission (FTC) recently finalized new antitrust guidelines, the first update since 2010. The new guidelines are expected to have a chilling effect on mergers and acquisitions or, at the very least, expand the transactions subject to regulatory enforcement, as Kiplinger previously reported.
Google has faced its fair share of antitrust scrutiny in the past. In January 2023, the Justice Department sued Google for "monopolizing multiple digital advertising technology products." The Justice Department also sued "monopolist Google" in 2020 "to stop Google from unlawfully maintaining monopolies through anticompetitive and exclusionary practices in the search and search advertising markets."
In Thursday's trading session, HUBS stock was last seen up 8% on the news while GOOGL shares were down 0.3%.
Google weighs AI paywall option
Prior to the buzz of the potential bid for HubSpot, Google was in the news for considering charging for certain premium features powered by generative artificial intelligence (AI), the Financial Times (FT) reported.
The proposed paywall would be centered around adding certain AI-powered search features to its premium subscription services, the FT said, citing three people with knowledge of the plans.
If this were to happen, it would mark the first time Google has put any of its core product offerings behind a paywall, the FT said.
Related Content
-
10 Cheapest Places to Live in WashingtonProperty Tax Is Washington your go-to ski destination? These counties combine no income tax with the lowest property tax bills in the state.
-
Healthy to 100: Secrets from Countries Where Retirees Age BestLongevity is a team sport, according to author Ken Stern. Here's the secret sauce for living long, healthy lives from countries like Italy and Japan.
-
My First $1 Million: Semiretired CPA, 68, San FranciscoEver wonder how someone who's made a million dollars or more did it? Kiplinger's My First $1 Million series uncovers the answers.
-
6 Overlooked Areas That Can Make or Break Your Retirement, From a Retirement AdviserIf you're heading into retirement with scattered and uncertain plans, distilling them into these six areas can ensure you thrive in later life.
-
I'm a Wealth Adviser: These Are the 7 Risks Your Retirement Plan Should AddressYour retirement needs to be able to withstand several major threats, including inflation, longevity, long-term care costs, market swings and more.
-
Stocks Struggle for Gains to Start 2026: Stock Market TodayIt's not quite the end of the world as we know it, but Warren Buffett is no longer the CEO of Berkshire Hathaway.
-
How New Investors Can Pick Their Perfect Portfolio, According to a ProSee what Cullen Roche has to say about finding your perfect portfolio as a new investor and his two-word answer on where he thinks the stock market is headed in 2026.
-
High-Net-Worth Retirees: Don't Overlook These Benefits of Social SecurityWealthy retirees often overlook Social Security. But timed properly, it can drive tax efficiency, keep Medicare costs in check and strengthen your legacy.
-
Do You Have an Insurance Coverage Gap for Your Valuables? You May Be Surprised to Learn You DoStandard homeowners insurance usually has strict limits on high-value items, so you should formally "schedule" these valuable possessions with your insurer.
-
If You'd Put $1,000 Into Lowe's Stock 20 Years Ago, Here's What You'd Have TodayLowe's stock has delivered disappointing returns recently, but it's been a great holding for truly patient investors.
-
Don't Trade After-Hours Without Reading ThisAre you a night owl or an early bird with a yen for active trading? Before you transact after-hours, consider these tips and potential traps.
