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Rumors Flying On $20 Billion Microsoft Offer For Yahoo

gadgetopia is one of many who wrote to tell us about the many rumors flying around that Microsoft may be aiming another deal at Yahoo, this time for $20 billion. The story was apparently originally broken by the UK-based site Times Online, and contained lots of details about the supposed deal. Since then, Ross Levinsohn, reported to be part of the new management team, has denied there is any truth to these rumors, leading to questions about where all of this supposed information came from. Yahoo has declined to comment officially.

8 of 112 comments (clear)

  1. Sounds like pump-n-dump by dsanfte · · Score: 5, Insightful

    In this climate I don't see Microsoft buying -anything- for a $20B outlay unless it were the next Google. And Yahoo isn't.

    --
    occultae nullus est respectus musicae - originally a Greek proverb
    1. Re:Sounds like pump-n-dump by morgan_greywolf · · Score: 5, Funny

      Microsoft has more cash than Jesus right now. They have nothing to worry about.

      Not likely. According to this website, in the year 2000 alone, American evangelical Christians raked in $2.66T (yes, that's trillion, no, that's not a typo.) If, according the site, 9% of these 'born-again' Christians tithed -- contributed 10% of their income -- then that should be about $23.94B in 2000 alone. If we count all 9 years between 2000 and 2008, and people are giving to Jesus at the same rates, I figure since 2000, Jesus must've raked in at least $200 billion or so, probably more. Let's be conservative and say the number is closer $300 billion.

      That makes Microsoft's $30 billion or so in current cash (according to Google Finance) seem a bit puny in comparison, huh?

    2. Re:Sounds like pump-n-dump by Sunshinerat · · Score: 5, Informative

      Correct, Yahoo owns a great deal of Google stock due to the patent dispute around online marketing.

      Why Google is not taking care of this is kind of beyond me.

      --
      Load New Commander (Y/N)?
    3. Re:Sounds like pump-n-dump by fatwilbur · · Score: 5, Informative

      Takeover offers are always, ALWAYS at a large premium to current share prices. This is what entices the shareholders to sell their shares to Microsoft (or whoever).

  2. Hostile takeover by PenguinX · · Score: 5, Interesting

    I recall reading an article a while back that Microsoft wasn't able to pursue unless Jerry Yang was ousted.

    Well, from now to then:

    * Ichann was elected to the board
    * Yang received severe criticism from the FUD machine
    * The project management of Yahoo services just went plain crazy (like deleting all of your user information in an 'upgrade')
    * <<insert more stupid crap here>>
    * Yang "stepped down"
    * And now report are that the 44.6 billion dollar deal is a mere 20 billion.

    Say what you will, but this isn't mere chance. Yahoo was one of the companies that helped to make the internet what it is today, and I am very suspicious about most nearly everything on the list above.

    Think what you will, but the only sane one in this deal was Jerry Yang from the start. Microsoft is ruthless - and this shows just how ruthless they are.

    1. Re:Hostile takeover by cyberjessy · · Score: 5, Funny

      At his sister's wedding, Michael Corleone tells his then girlfriend Kay Adams the story of how Don Corleone helped his godson Johnny Fontane. Michael explains that his father went to convince Les Halley, the bandleader, to release Johnny from a personal service contract that was holding back Johnny's singing career. Halley refused both the initial offer of $20,000 and the following offer of $10,000, completely missing the significance of that lower offer.

      You know what happened then.

      --
      Life is just a conviction.
  3. Yahoo is not an end-all solution... by Khopesh · · Score: 5, Interesting

    Yahoo represents the "old web" that Google is beating the pants off of. I wouldn't be surprised if Microsoft/MSN's own resources are as good or better. What Microsoft is trying to do is get a leg up on Google, and purchasing Yahoo just won't do that.

    Microsoft is better off buying something smaller, perhaps InterActiveCorp (IAC), owners of Ask.com and Excite, Evite, and Match.com, but even then it's only accomplishing the same thing. Whatever base they draw from, be it Yahoo, IAC, or MSN itself, they're going to have to do some radical building of new technology to go anywhere.

    They are going to have to invest in actual development firm(s), and buy some up-and-coming companies like 37signals to get some real innovation. However, Google has already been doing this, so MS is getting sloppy seconds, and when you add that to the fact that Microsoft is horrible at the this concept (it's more typical that MS buys a company, takes its most salable product and integrates it into the MS product, then shelves the rest of the company and fires the staff).

    ASP.NET is going to need some serious help gaining AJAX support if it wants to be a contender (or is this Silverlight's aspiration? *shudder* ... Silverlight should contend with Flash. None of the big web2.0 apps use Flash). This absolutely must be key to their web services plan if they want to stay a "leader" in the PL field. Remember when Hotmail went offline because they couldn't successfully port it from BSD to Windows? They still managed to do it eventually (or does it just run though a proxy?) ... porting languages is MUCH harder.

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  4. Re:Why? by mcpkaaos · · Score: 5, Funny

    After that you have specialty niche sites like redtube.com and pornhub.com.

    This, my friends, is why I love Slashdot. I learn something new every day!

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    It goes from God, to Jerry, to me.