NEW YORK (TheStreet) -- Google Inc. (GOOG) is buying Skybox Imaging, a satellite maker, for $500 million in an acquisition announced today aimed at improving the quality and immediacy of the satellite images Google uses in its digital maps, the Associated Press reports.
Google is planning on using satellites Skybox already has in orbit, adding to the material that it licenses form over 1,000 sources.
The company is said to be looking into building more satellites to use as a way to set up Internet access points around the world.
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Skybox is a five-year-old startup company based in Mountain View, California.
Shares of Google are down -0.47% to $559.47 this afternoon.
Separately, TheStreet Ratings team rates GOOGLE INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate GOOGLE INC (GOOGL) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and reasonable valuation levels. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, disappointing return on equity and feeble growth in the company's earnings per share."