Microsoft Offers $42 Billion For Yahoo!

**mattymcg** · Feb 1, 2008, 18:20

Big news to close the week — that Microsoft has initiated a $42 billion takeover bid for Yahoo!.

In a conference call Friday, Microsoft Chief Executive Steve Ballmer indicated he won’t take no for an answer after Yahoo rebuffed takeover overtures a year ago. “This is a decision we have — and I have — thought long and hard about,’ Ballmer said. ‘We are confident it’s the right path for Microsoft and Yahoo.”

Interesting times. Watch out Google!

**fordsho** · Feb 1, 2008, 18:35

Oh Man... Google Might be Toast If MS and Yahoo get together..... Now I wonder would this have a benefit for us publishers?

**yza** · Feb 1, 2008, 18:37

Let's just wait and see what will happen

**RetroNetro** · Feb 1, 2008, 18:38

http://www.sitepoint.com/forums/showthread.php?t=529341
http://www.sitepoint.com/forums/showthread.php?t=529353

**clink** · Feb 1, 2008, 18:44

Saw this on the news earlier, they were basically highlighting quite how far ahead google are in the race...

**mobyme** · Feb 1, 2008, 18:54

I hope it goes ahead although I think they are going to have a struggle with the European Union competition regulators. Why do I want to see it go ahead? Because I believe that true competition only exists between competitors of equal stature. Google and Microsoft have been stepping on each others toes a lot just recently; watch the sparks fly when these two giants take the gloves off, especially in the mobile media arena. We the consumers should get to reap the benefits with a bit of luck.

**Dan Schulz** · Feb 1, 2008, 19:02

Hmpf. Why do I have the feeling Microsoft is trying to take over Yahoo out of fear that the next CEO just might be able to turn the company around?

**mobyme** · Feb 1, 2008, 19:09

Originally Posted by Dan Schulz

Hmpf. Why do I have the feeling Microsoft is trying to take over Yahoo out of fear that the next CEO just might be able to turn the company around?

Got to admit that the same thought had crossed my mind. I have often wondered why they have failed so spectacularly with MSN?

**Dan Schulz** · Feb 1, 2008, 19:14

Lack of capable and effective leadership, possible infighting among the various departments and employees, corporate culture clashes, "old" vs "new", lots of things really.

Rather than wasting that money buying out their competitors though they should just spend it on creating quality products that people will actually want to use,and then make those products as good as they can be. And then don't restrict the employees from using Microsoft's "code culture" either. Just let them do their jobs.

**mattymcg** · Feb 1, 2008, 20:44

Originally Posted by Johnny Gulag

http://www.sitepoint.com/forums/showthread.php?t=529341
http://www.sitepoint.com/forums/showthread.php?t=529353

Thanks for pointing these out Johnny. I did look to see whether someone had posted about it before posting this, but obviously not hard enough!

**samanime** · Feb 1, 2008, 21:54

If they merge, I wonder if MSN and Yahoo will become one unit, or if one will fade away (likely MSN).

It'll be interesting to say the least.

**jetnine** · Feb 1, 2008, 22:01

Enough buying each other out, open YPN to the public!

**santha** · Feb 2, 2008, 01:35

Steve Jobs should really make a deal with Yahoo, considering Yang's likeness for him.

**Coupon Codes** · Feb 2, 2008, 01:37

very intersting, this could be good to give Google a bit more of a run for their money, some competition never hurts...

**Dan Schulz** · Feb 2, 2008, 01:50

Google has competition from Yahoo, Microsoft and Ask.com. However (generally speaking) their competition sucks with regard to the relevance of the search results that they provide and the quality of their services compared to what Google has to offer.

**jainmanoj123** · Feb 2, 2008, 02:58

I think it will be a one of the big deal. High competition in future.

**Dan Schulz** · Feb 2, 2008, 03:07

Competition from who? The barrier to entry in this industry is so high that most companies that try actually downright /FAIL/. Ask.com spent how much money last year and they didn't even make so much as a dent as far as market share is concerned.

**Raffles** · Feb 2, 2008, 04:16

Ask.com's marketing campaign (in the UK at least) was also very stupid and annoyed a lot of people. It appeared a desperate and pathetic attempt at getting more users.

**ionix5891** · Feb 2, 2008, 04:16

Even if Yahoo and Microsoft merges (oh how i wish for an adsense alternative so i can tell Google where to shove their rude customer reps and measly eCPMs)

they still be a fraction of Google's size (and yes Google are becoming more and more evil, who said power doesn't corrupt?)

Google ~ 77.1%
Yahoo ~ 12.23%
MSN ~ 3.43%
Live ~ 2.59%

tho yahoo.com is currently number one site in world (mainly due to Google using regional variations like google.ie etc)

people on this site moan about microsoft being a monopoly, but Microsoft are a relic of last decade and nowadays are not a threat to start ups,

Google on the other hand are the monopoly of the current web 2.0 generation, they either try to undermine you (Google video coming out to kill Youtube, Open social now to counter facebook) if they cant do that they buy you (google realizes google video is a flop)

**Dan Schulz** · Feb 2, 2008, 04:34

Uhm, Google OWNS YouTube. If they wanted to kill it, all they'd have to do is pull the content. If anything, Google plans on USING YouTube as a ad-supported revenue source.

**redspace** · Feb 2, 2008, 05:05

Hope it would go thru as soon as possible. Maybe Microsoft would become less evil when partner with softy Yahoo.

**Dan Schulz** · Feb 2, 2008, 05:18

I doubt that would happen. Microsoft is trying to force Yahoo into a "shotgun marriage" as it is. Those types of relationships often end up in disaster - and I don't just mean the "Jerry Springer" type disasters either. Look at Time-Warner/AOL for a corporate example of what I mean.

**Musicbox** · Feb 2, 2008, 06:05

very good offer lets see what happens

**drhowarddrfine** · Feb 2, 2008, 07:14

Originally Posted by ionix5891

Google on the other hand are the monopoly of the current web 2.0 generation, they either try to undermine you (Google video coming out to kill Youtube, Open social now to counter facebook) if they cant do that they buy you (google realizes google video is a flop)

Don't confuse "undermining" with "competing". If GM comes out with a new type of car and Ford comes out with a similar one, that's competition, not undermining or "evilness".

**ionix5891** · Feb 2, 2008, 07:18

Originally Posted by Dan Schulz

Uhm, Google OWNS YouTube. If they wanted to kill it, all they'd have to do is pull the content. If anything, Google plans on USING YouTube as a ad-supported revenue source.

i know well that google owns youtube

i was talking about the time when it didn't and the competed, if you cared not to speed read my post

and once again if Microsoft does buy yahoo they still be a fraction of the size of Google when it comes to the web as Google has such a monopoly on the web

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