Instagram, the popular photo sharing service, was bought by Facebook for $1 billion, despite not producing any tangible goods or generating revenue. Ducati is all but set to be purchased by Volkswagen for $1.12 billion, while producing tens of thousands of premium motorcycles sold across the globe ad fielding one of the most prestigious brands in the transportation industry.
Ducati has long been the apple of VWs eye – more specifically, VW boss and Ducati owner Ferdinand Piech has long coveted Ducati as a rival to BMW Motorrad. Analysts say there is very little synergy between VW and Ducati, but the purchase makes sense in light of VWs habit of buying luxury brands at cut rate prices. Or Piech is just a profligate mad man. I’m not sure.