Tuesday, December 29, 2009, 1:39PM ET - U.S. Markets close in 2 hours and 21 minutes.
Microsoft's board met Wednesday evening but was apparently unable to make a decision on the firm's next step in its effort to acquire Yahoo.
Three months have passed since Microsoft's original bid and several days since its April 26 "let's do a deal or we're going hostile" deadline, and the only winner so far is Google, says Darren Chervitz, co-manager of the Jacob Internet Fund.
Yahoo is the four-star Morningstar rated fund's second-largest position, and Chervitz is betting Microsoft will ultimately up its bid -- one possibility reportedly on the table.
Bottom line: Chervitz believes Microsoft needs to get the deal done because of Yahoo's unique position and Microsoft's ongoing struggles at its online division, which suffered an operating loss of $228 million in the latest quarter.
Microsoft may yet walk away from Yahoo, but there really isn't another legitimate option if the software giant really wants to compete with Google, says Chervitz. (Buying AOL is not a solution for either Microsoft or Yahoo, he adds.)
Still, the fund manager concedes Yahoo CEO Jerry Yang may simply be unwilling to sell the company he co-founded (despite public statements to the contrary). Or Yang will hold out for a bid well beyond Yahoo's value -- and risk scuttling the deal.
yang can not see lose the company he found. thats the only reason deal hasnt happened so far. 31 is an excellent price. holding out for high 30's is yang's legal way of saying "i will not sell". ballmer should just walk.
walk MS, they really dont need Yahoo. Chervitz just wants the deal done to get his money. MSFT does not need this deal , they need to walk away. $40 billion could buy a lot more searches just by giving the cash as prizes etc etc.
Microsoft should just buy at $40 and get it done. If MS really needs YHOO, then pay up buddy. Otherwise, walk and say bye-bye to GOOGLE and eat GOOGLE's dust.
Yang should NOT sell Yahoo. If Microsoft gets a hold of the company then they are monopolizing online advertising/internet engine. In operating system they are already holding 60-70% share of the global market. In gaming consoles they own at least 35%; in early 2000 they try to get into home network device but it failed (thats good). You dont want them to own every piece of the market.
MS should just walk away. Bet if they do the deal in one year we will talk about another failed deal a la Daimler Chrysler or AOL Time Warner. MS should focus on Windows right now.
This is the real story here, what MSFT shareholders denied too long to hear: "Microsoft's ongoing struggles at its online division, which suffered an operating loss of $228 million in the latest quarter." Mr. Ballmer really screwed himself with the whole takeover idea. It has put into focus that Microsoft under his watch had become a dinosaur, with little hope to prevent extinction. In fact, what MSFT shareholders and the board can't avoid now is to take a hard look at if MSFT can move forward at all with any "re-birth" plan without getting rid of Mr. Ballmer first.
Dont sell Yang they only want to buy because they cant do it on thier own they could not operate thier own site why would they be able to run yahoo if you do they will ruin it along with your great name but if you do sell start another site and ill be one to follow you
If MS walked. Google one day will surpass MS faster. If MS get Yahoo. Google will take longer to surpass MS. But Google right now is not stopping anytime soon. This is a company that will do anything in the right way to get the business going to compete with any company that stands at its way. MS lookout. Google will go around you faster than you think!
I think ballmer is a fool, "what a blow hard" if I were yahoo I wouldn't want any part of MS, they are better off on there on.
Microsoft doesn't not only want to do this deal. In fact, they need to do this deal. Microsoft and their power-products of the 80's and 90's, such as Windows, Office and other software is quickly becomming a dead business as similar tools are being open-sourced for free. We're moving away from a software-specific to a Internet-centric (service) sector quite quickly. Given the success of the likes of Google, MySpace, YouTube, etc...let's face it, Yahoo is the #1 most trafficked website across the globe. It's going to stay that way for years to come. Not only does Microsoft NEED Yahoo's advertising business (ad sales/ad inventory), Microsoft shall be acquiring all of the pieces that make up Yahoo's puzzle that makes it the highest trafficked site on the planet. Pieces of the puzzle include: Four11.com; Broadcast.com; Geocities.com; Sold.com; HotJobs.com; Inktomi.com; Overture (ad business); Del.icio.us; and Rivals.com amongst others. Let's not forget the highly trafficked add-ons like: Yahoo Music; Yahoo Personals; Yahoo Games; Yahoo Mail; etc etc. Yahoo has a hell of an arsenal to bring to the table for Microsoft. An arsenal that not only could challenge, but actually would challenge and eventually dethrone Google as the search king. Microsoft and even Yahoo for that matter completely ignored Google, and years later, they are paying the price for that. Yahoo had the opportunity to acquire Google, but declined. Instead they outsourced their search to Google and focus more on add-on services. That's about the same time Google took the opportunity and ran away with the crown. Microsoft needs Yahoo like an alcoholic needs a drink. Let's face it, Microsoft brought a few bottles of KY Jelly for executive use for the aQuantive acquisition. They thought they would be cheap about it and catch Yahoo/Google with a $6B investment. Who were they kidding? They paid like 30 or 60 years times revenue...quite insane but when your cheap, your cheap. Price shouldn't matter when the future of your company is quickly becomming extinct by the power of the Internet. Ballmer/Gates and company should start focusing on the $282B market cap of our (investors) very own money and invest wisely in the future of the company. Even if you don't own Microsoft shares, you probably do. Whether it's in your 401K, IRA, SEP IRA, Mutual Funds, etc...you own a piece as well. Microsoft must make a move soon as their latest earnings report testified that their existing business model is in some serious trouble. They need to quickly acquire Yahoo for whatever price and dilute the numbers from the acquisition in order to bury their soon-to-be-losing software-related mess. The future is not very bright without a Yahoo marriage. As for the newswire that keep touting AOL and AOL's recent traffic surge (for unique visitors), quit blowing smoke when there's no fire in sight. AOL's unique visitor count was over 73 million visits per month in March of 2007. Today that number sits at roughly 59 million and dropping. Sure they had a recent spike, they just spent hundreds of millions to acquire Bebo, of course your traffickd spike. Doesn't make you anymore attractive however. It's almost like traffic arbitrage whereas one buys ads from Google and send the visitors over to Yahoo. This is a short-term fix for added long-term pain. AOL missed the boat on broadband. AOL missed the boat on Internet services. AOL missed the boat on getting rid of their service fees sooner. AOL missed the boat on the advertising model. The last time AOL had a good idea was back in the early 90's. Let's not shed anymore light on AOL...CASE CLOSED (no pun intended Steve Case).
Microsoft doesn't not only want to do this deal. In fact, they need to do this deal. Microsoft and their power-products of the 80's and 90's, such as Windows, Office and other software is quickly becomming a dead business as similar tools are being open-sourced for free. We're moving away from a software-specific to a Internet-centric (service) sector quite quickly. Given the success of the likes of Google, MySpace, YouTube, etc...let's face it, Yahoo is the #1 most trafficked website across the globe. It's going to stay that way for years to come. Not only does Microsoft NEED Yahoo's advertising business (ad sales/ad inventory), Microsoft shall be acquiring all of the pieces that make up Yahoo's puzzle that makes it the highest trafficked site on the planet. Pieces of the puzzle include: Four11.com; Broadcast.com; Geocities.com; Sold.com; HotJobs.com; Inktomi.com; Overture (ad business); Del.icio.us; and Rivals.com amongst others. Let's not forget the highly trafficked add-ons like: Yahoo Music; Yahoo Personals; Yahoo Games; Yahoo Mail; etc etc. Yahoo has a hell of an arsenal to bring to the table for Microsoft. An arsenal that not only could challenge, but actually would challenge and eventually dethrone Google as the search king. Microsoft and even Yahoo for that matter completely ignored Google, and years later, they are paying the price for that. Yahoo had the opportunity to acquire Google, but declined. Instead they outsourced their search to Google and focus more on add-on services. That's about the same time Google took the opportunity and ran away with the crown. Microsoft needs Yahoo like an alcoholic needs a drink. Let's face it, Microsoft brought a few bottles of KY Jelly for executive use for the aQuantive acquisition. They thought they would be cheap about it and catch Yahoo/Google with a $6B investment. Who were they kidding? They paid like 30 or 60 years times revenue...quite insane but when your cheap, your cheap. Price shouldn't matter when the future of your company is quickly becomming extinct by the power of the Internet. Ballmer/Gates and company should start focusing on the $282B market cap of our (investors) very own money and invest wisely in the future of the company. Even if you don't own Microsoft shares, you probably do. Whether it's in your 401K, IRA, SEP IRA, Mutual Funds, etc...you own a piece as well. Microsoft must make a move soon as their latest earnings report testified that their existing business model is in some serious trouble. They need to quickly acquire Yahoo for whatever price and dilute the numbers from the acquisition in order to bury their soon-to-be-losing software-related mess. The future is not very bright without a Yahoo marriage. As for the newswire that keep touting AOL and AOL's recent traffic surge (for unique visitors), quit blowing smoke when there's no fire in sight. AOL's unique visitor count was over 73 million visits per month in March of 2007. Today that number sits at roughly 59 million and dropping. Sure they had a recent spike, they just spent hundreds of millions to acquire Bebo, of course your traffickd spike. Doesn't make you anymore attractive however. It's almost like traffic arbitrage whereas one buys ads from Google and send the visitors over to Yahoo. This is a short-term fix for added long-term pain. AOL missed the boat on broadband. AOL missed the boat on Internet services. AOL missed the boat on getting rid of their service fees sooner. AOL missed the boat on the advertising model. The last time AOL had a good idea was back in the early 90's. Let's not shed anymore light on AOL...CASE CLOSED (no pun intended Steve Case).
Microsoft doesn't not only want to do this deal. In fact, they need to do this deal. Microsoft and their power-products of the 80's and 90's, such as Windows, Office and other software is quickly becomming a dead business as similar tools are being open-sourced for free. We're moving away from a software-specific to a Internet-centric (service) sector quite quickly. Given the success of the likes of Google, MySpace, YouTube, etc...let's face it, Yahoo is the #1 most trafficked website across the globe. It's going to stay that way for years to come. Not only does Microsoft NEED Yahoo's advertising business (ad sales/ad inventory), Microsoft shall be acquiring all of the pieces that make up Yahoo's puzzle that makes it the highest trafficked site on the planet. Pieces of the puzzle include: Four11.com; Broadcast.com; Geocities.com; Sold.com; HotJobs.com; Inktomi.com; Overture (ad business); Del.icio.us; and Rivals.com amongst others. Let's not forget the highly trafficked add-ons like: Yahoo Music; Yahoo Personals; Yahoo Games; Yahoo Mail; etc etc. Yahoo has a hell of an arsenal to bring to the table for Microsoft. An arsenal that not only could challenge, but actually would challenge and eventually dethrone Google as the search king. Microsoft and even Yahoo for that matter completely ignored Google, and years later, they are paying the price for that. Yahoo had the opportunity to acquire Google, but declined. Instead they outsourced their search to Google and focus more on add-on services. That's about the same time Google took the opportunity and ran away with the crown. Microsoft needs Yahoo like an alcoholic needs a drink. Let's face it, Microsoft brought a few bottles of KY Jelly for executive use for the aQuantive acquisition. They thought they would be cheap about it and catch Yahoo/Google with a $6B investment. Who were they kidding? They paid like 30 or 60 years times revenue...quite insane but when your cheap, your cheap. Price shouldn't matter when the future of your company is quickly becomming extinct by the power of the Internet. Ballmer/Gates and company should start focusing on the $282B market cap of our (investors) very own money and invest wisely in the future of the company. Even if you don't own Microsoft shares, you probably do. Whether it's in your 401K, IRA, SEP IRA, Mutual Funds, etc...you own a piece as well. Microsoft must make a move soon as their latest earnings report testified that their existing business model is in some serious trouble. They need to quickly acquire Yahoo for whatever price and dilute the numbers from the acquisition in order to bury their soon-to-be-losing software-related mess. The future is not very bright without a Yahoo marriage. As for the newswire that keep touting AOL and AOL's recent traffic surge (for unique visitors), quit blowing smoke when there's no fire in sight. AOL's unique visitor count was over 73 million visits per month in March of 2007. Today that number sits at roughly 59 million and dropping. Sure they had a recent spike, they just spent hundreds of millions to acquire Bebo, of course your traffickd spike. Doesn't make you anymore attractive however. It's almost like traffic arbitrage whereas one buys ads from Google and send the visitors over to Yahoo. This is a short-term fix for added long-term pain. AOL missed the boat on broadband. AOL missed the boat on Internet services. AOL missed the boat on getting rid of their service fees sooner. AOL missed the boat on the advertising model. The last time AOL had a good idea was back in the early 90's. Let's not shed anymore light on AOL...CASE CLOSED (no pun intended Steve Case).
Microsoft doesn't not only want to do this deal. In fact, they need to do this deal. Microsoft and their power-products of the 80's and 90's, such as Windows, Office and other software is quickly becomming a dead business as similar tools are being open-sourced for free. We're moving away from a software-specific to a Internet-centric (service) sector quite quickly. Given the success of the likes of Google, MySpace, YouTube, etc...let's face it, Yahoo is the #1 most trafficked website across the globe. It's going to stay that way for years to come. Not only does Microsoft NEED Yahoo's advertising business (ad sales/ad inventory), Microsoft shall be acquiring all of the pieces that make up Yahoo's puzzle that makes it the highest trafficked site on the planet. Pieces of the puzzle include: Four11.com; Broadcast.com; Geocities.com; Sold.com; HotJobs.com; Inktomi.com; Overture (ad business); Del.icio.us; and Rivals.com amongst others. Let's not forget the highly trafficked add-ons like: Yahoo Music; Yahoo Personals; Yahoo Games; Yahoo Mail; etc etc. Yahoo has a hell of an arsenal to bring to the table for Microsoft. An arsenal that not only could challenge, but actually would challenge and eventually dethrone Google as the search king. Microsoft and even Yahoo for that matter completely ignored Google, and years later, they are paying the price for that. Yahoo had the opportunity to acquire Google, but declined. Instead they outsourced their search to Google and focus more on add-on services. That's about the same time Google took the opportunity and ran away with the crown. Microsoft needs Yahoo like an alcoholic needs a drink. Let's face it, Microsoft brought a few bottles of KY Jelly for executive use for the aQuantive acquisition. They thought they would be cheap about it and catch Yahoo/Google with a $6B investment. Who were they kidding? They paid like 30 or 60 years times revenue...quite insane but when your cheap, your cheap. Price shouldn't matter when the future of your company is quickly becomming extinct by the power of the Internet. Ballmer/Gates and company should start focusing on the $282B market cap of our (investors) very own money and invest wisely in the future of the company. Even if you don't own Microsoft shares, you probably do. Whether it's in your 401K, IRA, SEP IRA, Mutual Funds, etc...you own a piece as well. Microsoft must make a move soon as their latest earnings report testified that their existing business model is in some serious trouble. They need to quickly acquire Yahoo for whatever price and dilute the numbers from the acquisition in order to bury their soon-to-be-losing software-related mess. The future is not very bright without a Yahoo marriage. As for the newswire that keep touting AOL and AOL's recent traffic surge (for unique visitors), quit blowing smoke when there's no fire in sight. AOL's unique visitor count was over 73 million visits per month in March of 2007. Today that number sits at roughly 59 million and dropping. Sure they had a recent spike, they just spent hundreds of millions to acquire Bebo, of course your traffickd spike. Doesn't make you anymore attractive however. It's almost like traffic arbitrage whereas one buys ads from Google and send the visitors over to Yahoo. This is a short-term fix for added long-term pain. AOL missed the boat on broadband. AOL missed the boat on Internet services. AOL missed the boat on getting rid of their service fees sooner. AOL missed the boat on the advertising model. The last time AOL had a good idea was back in the early 90's. Let's not shed anymore light on AOL...CASE CLOSED (no pun intended Steve Case).
MICROSOFT should just walk away and watch Yahoo's stock plummet. Wait for that purple giant to fall - then later when it is cheaper BUY!!! Crush Yang and that company. But then again it does not matter, both MSN and YAHOO are washed up, poorly managed and both are crappy company to begin with.
Even if MSFT get done with this deal, GOOGle is going to be the winner for ever in this online search business. Microsoft has to come up with a new boom to make money. Microsoft has tons of money and they don't even know what are they doing. They should stop being jealous with the Google success.
MSFT should walk-walk-walk. Bottom line, YHOO does not have a competive advantage (the wide moat) and they are slowly dying on the vine. The price is too high. MSFT can make other, more strategic buys that will better position them for the future. Yang is being very dumb.
Consider this. MS Walks away, stock crashes to 19 justifying a quick proxy take over with no battle or bad blood. With control of Yahoo!'s board Microsoft sinks the 40+ into purchasing every decent "Web 2.0" company out there and integrates that into Yahoo! Services which is single sign on with Passport. With control of the board Microsoft could pursue a timely purchase of the Yahoo! stock in a non abrasive manner. Thoughts?
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Rogers V - Thursday May 01, 2008 11:43AM EDT
hehe