Microsoft Buys Farecast

Microsoft has agreed to buy Farecast Inc., a Seattle-based developer of data mining techniques to predict prices in the travel industry. Initial reports of the Farecast sale put the pricetag at around $75 million, but the Microsoft deal actually is said to be worth $115 million.

 

Farecast has raised just over $20 million in VC funding, from firms like Madrona Venture Group, Greylock Partners, Pinnacle Ventures, Sutter Hill Ventures and WRF Group. www.microsoft.com www.farecast.com