LinkedIn’s stock was struggling.
LinkedIn’s ad business was slowing down.
LinkedIn’s growth was a concern.
2) I'm a MSFT shareholder, and I'm scared. I'm not at all scared that the company will fail. I'm scared that my stock will be worth a lot less, and I won't be able to liquidate it without losing a bunch of my money.
3) The "piggy bank" is the shareholder value. That's where we get our dividends, and stocks have no value without dividends.
4) It doesn't matter what the effect of the purchase is on Microsoft, at least not to a shareholder. The market decides what the stock is worth, and the market thinks short-term and irrationally.
And OpenOffice rejoiced.
Seems link LinkedIn got a good offer, and did not sell out of fear.
You know it used to be worth a lot more, and may be again someday, but it's uncertain. You suddenly get an offer that's higher than the current market, so you take it since you have no real confidence the market will be back to its former levels in the next decade. Yes it's a good offer for the moment, but there's still an element of fear/uncertainty driving the decision.
It's also potentially scary to Microsoft since they may have paid a price that's well above anything the market will ever see again.