Microsoft Offers $44.6B for Yahoo

Microsoft Offers $44.6B for Yahoo :: WRAL.com

Very interesting. I wonder what strategy they have in mind. It seems that they will still be at quite a decided disadvantage versus Google.

yahoo's stock is up 45% right now... damn. i wish i bought some. I actually debated it a couple months ago, but it was doing nothing for a long long time....

If we could only have known 1 day early. It still might be a good idea to get in. The only problem is that if the deal does *not* actually go through, it will retreat probably even further below starting value.

Microsoft will not pass Google about Search Engine Industry

No but this will make them a stronger 2nd.

Currently google gets slightly over 50% of all internet searches
Yahoo gets something like 17%
MSN was down around 13%
According to nielson survey

How will the brands be changed? Stay the same and separate? Merged?

Yahoo rejects this offer.

Yahoo Rejects Microsoft's Takeover Bid: Financial News - Yahoo! Finance

omg.. 44 billion!! wow I would take that If I owned Yahoo.

i wouldn't. too much red tape involved, and they are still posting a solid profit anyway.


99% of the time, selling a business needs to be an emotional decision, not a financial one. I learned that from watching Donny Deutch's Big Idea show

Since there will be interest from both Google and Microsoft (and maybe others like AOL), it's probably in their best interest to let the investment community drive stock value up over the next 6 months to 1 year+. Then when it comes to acquisition time, they'll demand a larger takeover bid.

Maybe they should have taken the buy out?

Confirmed: Yahoo Design Innovation Team Axed - News Blog - Daily Brief - Portfolio.com

Stock value often rises after significant layoffs as investors tend to think of it as an efficiency/cost saving move, that can help improve net profit margins, and cut away some unnecessary fat from the organizational structure.

They might do this in an attempt to get the stock moving more bullishly, in order to demand a higher asking price eventually.

I don't think they're trying to prevent any takeover bid. I think they are trying to stall long enough to increase company value, and bring out the hungriest bidder.

Getting nastier: Microsoft readies Yahoo proxy battle - Yahoo! News

Wow - they are playing hardball. I guess there must be a lot of anti-Microsoft sentiment inside, because it certainly seems like it would be a positive move for their investors, including all upper management rewarded with large vested stock positions.

If this deal is not preferred by them, there seems to be only 2 options:

- They want a better offer from the likes of Google, or (not as glamorously) AOL, etc.
- They are working on a new business model/direction for the company they believe will restore their competitiveness or create a new niche within the space.