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Microsoft and News Corp in Yahoo Bid Talks

KingAlanI writes "The New York Times website is reporting that Microsoft is trying another angle in its bid for Yahoo: joining up with another behemoth, Murdoch's News Corporation. This is still very much in the preliminary stage, if anything, but an important development to consider. The idea of Yahoo working with fellow Web giant Google, in a plan to counteract Microsoft's takeover plan, is also discussed."

29 of 91 comments (clear)

  1. Brilliant by Anonymous Coward · · Score: 5, Funny

    Of course! We need more EVIL! Get Murdoch on board....

  2. I would like to congratulate Microsoft by Anonymous Coward · · Score: 3, Funny

    For singlehandledly making AOL relevant again. I think my collection of AOL disks just increased in value.

  3. Better link by Whiney+Mac+Fanboy · · Score: 4, Informative

    This is a better link because it's reg-free.

    The wrinkly photo of Murdoch (complete with disembodied hand) is just icing on the cake.

    --
    There are shills on slashdot. Apparently, I'm one of them.
    1. Re:Better link by fondacio · · Score: 2, Informative

      The NYT hasn't been required registration since last September, when it also dropped its "Times Select" strategy of paying for its columnists that didn't work out. The link from the summary still contains the "?_r=1&hp&oref=slogin" bit, but even if you are not signed in you can access the article just as easily as on the website of the IHT (which, by the way, is fully owned by the NYT company).

  4. Time-Warner Is Also Making A Play by blcamp · · Score: 5, Informative


    Don't count out another media player:

    http://www.reuters.com/article/topNews/idUSN0929033920080410?feedType=RSS&feedName=topNews&rpc=22&sp=true

    Hard to know whether this is going to turn into a bidding war, but no matter what happens, Yahoo's days as an independant 'net player on the big stage are numbered.

    --
    The problem with socialism is that they always run out of other people's money. - Margaret Thatcher
  5. MSFT, Hotmail and Yahoo by William+Robinson · · Score: 2
    troll -1

    IMHO, I don't think Microsoft is going to gain anything by taking over Apple, Yahoo OR Google. They have acquired Hotmail earlier, and I personally know many friends switching from Hotmail to something else for pathetic services. I do not have a single contact with Hotmail address today.

    MSFT is not known for quality, and, yes, it is loss to the world to have lost a good company to MSFT. But MSFT is not going to gain anything

    /troll

    1. Re:MSFT, Hotmail and Yahoo by GauteL · · Score: 5, Insightful

      "Here are up-to-date numbers for a single country, Turkey:"

      Those statistics being "single country" also makes them less valid on the world scale.

      I thought I smelled a fish when your statistics seemed to indicate that 1/3 of all Turks are "MSN users". This also means that if this and this is correct, there are more MSN users than Internet users in Turkey. So let us just assume that EVERY single Internet user in Turkey is also an MSN user.

      Could this possibly be representative for the world?

      The answer is pretty obviously "no".
      If all your statistics are correct, Turkey accounts for approximately 8.3 % of the MSN users in the world, but less than 1.3% of the worlds internet users (based on 1.32 billion Internet users from here).

      Either your numbers are completely wrong, or MSN is over 6 times as popular in Turkey as the average for Internet users. Either way, they are completely useless as proof of total MSN usage in the world.

    2. Re:MSFT, Hotmail and Yahoo by BrotherBeal · · Score: 2, Funny

      If 65% are men and 22% are women, what are the other 13%? Botnets.
      --
      I'm disabling ads until because I choose not to reward redesigns that are less usable than "view source".
  6. Out of the Frying Pan, Into the Fire by Doc+Ruby · · Score: 4, Insightful

    If Microsoft is trying to convince anyone that its hostile takeover of Yahoo isn't evil, it's going in exactly the wrong direction.

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    make install -not war

  7. Pot, this is Kettle by Ngarrang · · Score: 4, Interesting

    From the article...
    "Microsoft immediately blasted the idea of a search advertising partnership between Yahoo and Google, saying it would be anticompetitive. âoeAny definitive agreement between Yahoo and Google would consolidate over 90 percent of the search advertising market in Googleâ(TM)s hands,â Microsoft said in a statement."

    For some reason, this cry for justice rings empty. Does Microsoft honestly think THEY can make such complaints given their own gregarious behavior?

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    Bearded Dragon
    1. Re:Pot, this is Kettle by Anonymous Coward · · Score: 2, Insightful

      Does Microsoft honestly think THEY can make such complaints given their own gregarious behavior?


      Yes, it's how psychopaths operate. The reality is that Microsoft can't even service their OS monopoly with a competitive product, watching them try to play in every single market is both amusing and frustrating. But let's not chastise them for it, the arrogance is already undoing them from the inside-out.
    2. Re:Pot, this is Kettle by wellingj · · Score: 3, Insightful

      True I don't have much sympathy but ad hominem is still a logically flawed argument.

      What MS says is logically true, I just don't happen to give a rats ass about them saying it.

  8. Re:Is this a poison pill strategy? by morgan_greywolf · · Score: 4, Insightful

    It's been a long time since I had a business class. Isn't this what is called the poison pill? Either buying up things that make the company a poor purchase decision, or entering into contracts that do the same thing etc? No, I don't think so. I think Yahoo believes that a deal with Google might be more lucrative than its current course of action, which is to do all advertising in-house.

    All in all, the goal seems to be to strengthen Yahoo in order to push up the stock price to avoid a hostile takeover. The poison pill approach is to make the company look so bad that nobody would want to buy it. I don't think that's what Yahoo's trying to do at all.

  9. But the question is... by bhunachchicken · · Score: 3, Interesting

    Will this actually lure people away from Google? Right now the mentality is quite simply "Google It".

    I'm not sure we'll be hearing "Yahoo! It" or "MSN It" any time soon.

    It probably doesn't help that Google is the default search in Firefox either.

    1. Re:But the question is... by jollyreaper · · Score: 3, Insightful

      Will this actually lure people away from Google? Right now the mentality is quite simply "Google It".

      I'm not sure we'll be hearing "Yahoo! It" or "MSN It" any time soon.

      It probably doesn't help that Google is the default search in Firefox either. There's probably some quote out there along the lines of much is forgiven of those who can deliver. People forgive Apple the smeck-headed egotism of Jobs and the acolytes because they still manage to deliver a solid product. People are worried about Google actually being evil but they turn out some really innovative products just dripping with ideas. Microsoft takes a lot of shit for being evil and the products they come out with are dull and uninspired.

      You can talk about propaganda and public relations and brainwashing when people say they have warm-fuzzies when thinking about Apple and Google. At the end of the day, though, people have to use their products. You can say it's marketing but a lot of people really, really like Apple and Google products. They can't all be kool-aid drinkers. If Jobs acts like an insufferable twat with the overbearing egotism of someone who thinks he's always right, well damnit, he usually is. We probably wouldn't dislike him as much if he turned out a Vista every once in a while. The Mac Cube was lame but not lame enough.
      --
      Kwisatz Haderach
      Sell the spice to CHOAM
      This Mahdi took Shaddam's Throne
  10. Re:Is this a poison pill strategy? by Ngarrang · · Score: 3, Informative

    The parent wrote, "It's been a long time since I had a business class. Isn't this what is called the poison pill? Either buying up things that make the company a poor purchase decision, or entering into contracts that do the same thing etc?"

    I think it would qualify more as a poison pill strategy if Yahoo! gave up their own ad service completely and signed a binding long-term agreement with Google, the kind that survives mergers and buy-outs.

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    Bearded Dragon
  11. Could've been funnier by faloi · · Score: 4, Funny

    It could've said "Microsoft and Newscorp have banded together to make the proper sacrifices to Cthulhu to ensure their bid for Yahoo! is accepted." At least then the circle of evil would be complete.

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    "It is a miracle that curiosity survives formal education." -Albert Einstein
  12. Re:I have a feeling.. by mfh · · Score: 4, Insightful

    MSFT wouldn't enter the deal if it would hurt them.

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    The dangers of knowledge trigger emotional distress in human beings.
  13. Re:I have a feeling.. by imstanny · · Score: 3, Interesting

    Why do I have a feeling MSFT is going to come out ahead with this deal As for if this will stand in the EU... that is another question all-together. Actually, if you take the history of all buy-outs, the Net benefit for the firm doing the buying is roughly 0%. Though it's a historical average, where some companies may deviate, the company buying the firm tends to have no benefits in the long run. Even in the recent tech world AMD/ATI, TimeWarner/AOL, EBAY/SKYPE come to mind...
  14. Two great evils together at last. by killjoe · · Score: 3, Funny

    Hey you've got right wing zealotry in my monopoly.

    Hey you've got monopoly in my right right wing politics.

    Ah two great evils that taste better together.

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    evil is as evil does
  15. Microsoft + FOX + Yahoo! = by e03179 · · Score: 3, Funny

    MicroFOX!

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    -516
  16. Yahoo's Google test means MS was right by pcause · · Score: 5, Insightful

    The recent announcement about Yahoo testing Adsense for search result advertising just proves that MS is right and that Yahoo is not a viable standalone entity. We need strong and serious competition for Google because the last thing the world needs is a monopoly on the source of revenue for ad properties. Yahoo has now admitted defeat and MS is willing to put up the challenge. Throw in Fox and we could have a real competitor for Google.

    Of course, combining 3 "also rans"doesn't mean we get a winner, just that we'll at least likely have a fight!

  17. Don't Feed the Lawyers by oldbamboo · · Score: 3, Insightful

    True enough, but, y'know, why spend all this money on lawyers just to make this thing happen just to have a bit of a limp struggle against the google-constrictor. What's the point? The three of them are screwed as an entity. They could no more pull a decent web presence out of this than I could pull a flaming, banjo-playing clown out of my ass.

    Anyway, google as a monopoly for a few years sounds quite nice. I like monopolies. Aren't monopolies what gave us all that stuff that isn't MS, that has allowed MS to degenerate quietly into the laughable junk it is, you know, things like Linux, and google?

    --
    You may not agree with what I say, but you should fight to the death to allow me to say it, by modding me up.
  18. well, this will be great for MS if allowed by WindBourne · · Score: 3, Interesting

    it is designed to kill Google, not compete. They are going to use their monopoly to control the web by forcing all MSIE users to become 'live'. Once done, their search engine will be integrated with their desktop. Of course, Google will sue in court later on, MS will be found guilty, and MS will simply pay. Not a bad deal for MS.

    But I am guessing that W would allow it (MS paid a lot of money to his campaign), but EU, China, Russia, and japan will nix it. And yes, those countries do have a say. After all, they can simply shut down all Windows sales, which would push Linux to the forefront. And from their POV, that would mean new business opportunities.

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    I prefer the "u" in honour as it seems to be missing these days.
    1. Re:well, this will be great for MS if allowed by dfiguero · · Score: 2, Insightful

      After all, they can simply shut down all Windows sales, which would push Linux to the forefront. And from their POV, that would mean new business opportunities. I wonder if they really can? If they have such power why haven't they done it already? Would they only push for Linux if MS was integrating yet another thing to their desktop?

      I think the only thing that would happen is MS would have to pay another fine like in US/EU and everything would be business as usual.

      --
      My penguin ate my sig
  19. AOL Bailout by Thelasko · · Score: 4, Insightful
    From the article:

    Yahoo, which wants to remain independent, has been in a desperate search for white knights, holding conversations with Time Warnerâ(TM)s AOL and News Corporation.
    A Yahoo-AOL merger would make for one mediocre company. I don't think that will scare off giants like Microsoft and Google. In the end we will be left with just two companies, unless the SEC says otherwise.
    --
    One of our competitors trademarked the term "hypothesis". From now on, we will call them "boneheaded ideas".
  20. Interesting argument from MS by peipas · · Score: 2, Funny

    Microsoft immediately blasted the idea of a search advertising partnership between Yahoo and Google, saying it would be anticompetitive. "Any definitive agreement between Yahoo and Google would consolidate over 90 percent of the search advertising market in Google's hands," Microsoft said in a statement. *blinks*
  21. Re:Yahoo is not the issue by DragonWriter · · Score: 2, Insightful

    When your carefully nurtured trademark enters popular usage as a generic term for your product or service you are in deep shit.


    As long as its a term for your product or service, you are fine. When it enters popular usage as a generic term for products or services in your market (as happened with Xerox and Kleenex), you're screwed. While Google is often used as a verb for running internet searches, its not really clear to me that its used in a brand-generic sense (as "search on the internet") rather than a brand-specific but engine-generic sense (as "search on the applicable Google service"). Lots of people I know use "Google" as a verb, but they all use Google search engines as, if not their only, their primary engines for "generic" searches, so when they say "Google it" or "I Googled it", they really mean "search(ed) on Google", not "search(ed) on the internet".
  22. That's the fact. Here's a link. by Futurepower(R) · · Score: 3, Interesting

    "... if you take the history of all buy-outs, the Net benefit for the firm doing the buying is roughly 0%."

    Source: Wikipedia article about Mergers and Acquisitions. Quote: "Historically, mergers have often failed (Straub, 2007) to add significantly to the value of the acquiring firm's shares (King, et al., 2004)."

    That idea is well-known, but I was unable to find another link quickly. (It's only a Slashdot comment, not the result of a research project.) For example, the merger of Time-Warner and AOL is the worst business decision of human history, and lowered the value of Time-Warner so much that employees lost much of their invested savings.

    The basic point seems valid in this case, also. Microsoft has proven, over many years, that it does not know how to run a search engine. Yahoo has proven, over many years, that...

    I'm guessing that Steve Ballmer is doing this because he wants an outlet for his anger. It's difficult to see how owning Yahoo can benefit Microsoft. One possibility is that Microsoft can try to get a partial monopoly over some kinds of internet traffic. Many people with little technical knowledge use whatever Microsoft pushes them towards.

    Microsoft is NOT a successful company, in my opinion. If Microsoft didn't have one-time monopolies created during a time when people were ignorant about computers, it would not make much profit.

    Also, the failure of Vista may indicate that Microsoft can no longer hire people intelligent enough to write working software.