Microsoft and Yahoo … together again?

1 02 2008

Today’s Reuters (and everyone else) reports that Microsoft has made an offer to buy Yahoo for about $44.6 billion dollars.

This is a typical Microsoft strategy — buy what you can’t build — but I’m trying to figure out what Microsoft is hoping to buy here. Certainly, Yahoo has a business that has tentacles in many areas — entertainment, search, ads, server-based tools, news partnerships, and many more. But Microsoft has many of the same businesses as well.

What new does Yahoo bring to the table?

On first blush, the answer may simply bring the fact that they aren’t Microsoft. Their infrastructure is much looser and speedier. They don’t have a hardware component to drag them down. They don’t have years of strong-arming histories that are in the memory cells of many of their partner’s DNA.

But is that worth $45 billion dollars.

In the end, you have to figure that this is Microsoft trying to block Google more than anything else. Yahoo has spent the last few years attempting (with limited degrees of success) to be the new Google. Microsoft hasn’t really tried, but they certainly must see the looming G-company as a future threat.

What this might be about is insurance. As simple as that.

More on this as I think more. (I know I could have done that to start with, but that would have been too simple, wouldn’t it?)

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One response

3 02 2008
Bluebeetle(one)

This is a typical Microsoft strategy — buy what you can’t build
>> For Years Bill Gates NEVER thought the internet would be interesting for his company nor the people.
So he hasn’t invested in time to propose smart & useful services.
The problem w/ Micro$oft is the loss of innovation & identity.

What new does Yahoo bring to the table?
>> First of all a brand a lot of people love.
Yahoo! has been (like Google) a success story started from scratch by students bringing something really new, innovative & fun.

Micro$oft is only “copy/pasting others” companies’ Great ideas.
Money can’t buy anything (in this case feelings of Internet users).

Unfortunately expect Google of the DOJ no one can avoid MicroYoo! merge.
;o(

It’s really sad for the Internet.

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