Technology news reveals a battle over Foursquare

Both Microsoft and American Express are fighting to acquire equity in the company.

A number of technology news reports that were recently published have suggested that insiders who are close to this issue claim that American Express Co. and Microsoft are both showing interest in purchasing an equity stake in Foursquare Labs Inc.

If these reports are true, then it suggests that the two giants would rather invest in the company than work jointly on it.

Foursquare is a tremendously popular form of mobile check-in platform. At the same time that this technology news was being released, it was also in negotiations with venture capitalists in possession of convertible debt with regards to transforming their current “holdings into equity”. The discussions that are underway are also indicating that the prospective investors have become more bold about the potential of Foursquare, following the results that it has been achieving through its latest approach to advertising that gives brands the ability to target users at the time that they have checked into a specific location.

This technology news is clearly highly appealing to Microsoft and American Express, that each have their own plans for it.

From the side of Microsoft, the acquisition of Foursquare would provide the giant with the opportunity to develop a larger role in both mobile commerce as well as in the social media scene. On the other hand, it is believed that American Express is primarily interested in the check-in platform so that it will be able to boost its competitive edge with its credit card rivals through the use of enhanced marketing an improved loyalty programs that are furthered by the influence of social media.

Steven Rosenblatt, the chief revenue officer for Foursquare, released a technology news statement, recently, which said that “I think we’ve proven our business model.” He also went on to add that “Our business model is very clear and it’s working, doing what we thought it would do, if not more. It’s all well ahead of what we anticipated.” If the rumors are true about Microsoft and American Express, then clearly Rosenblatt is right.