Instagram was a very real competitor to Facebook. They also have practically zero expenses. It took only 1% of Facebook's market cap (at the time) to acquire them.
Lucasfilm is in a very crowded space. They have a ton of expenses which results in loses a good percentage of the time. Their best days were probably behind them (especially since they chose to stop making new Star Wars movies).
Basically, this is comparing two completely different businesses in completely different markets. I think both were good deals for the acquirers.
I'll leave with this: I think selling Band Aids is a better business than Yahoo - but you're crazy if you think Yahoo doesn't have an insane higher multiple of potential.
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Instagram was a very real competitor to Facebook. They also have practically zero expenses. It took only 1% of Facebook's market cap (at the time) to acquire them.
Lucasfilm is in a very crowded space. They have a ton of expenses which results in loses a good percentage of the time. Their best days were probably behind them (especially since they chose to stop making new Star Wars movies).
Basically, this is comparing two completely different businesses in completely different markets. I think both were good deals for the acquirers.
I'll leave with this: I think selling Band Aids is a better business than Yahoo - but you're crazy if you think Yahoo doesn't have an insane higher multiple of potential.