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Microsoft + Yahoo = Micro-hoo?

by Phil Barrett

As rumoured since 2006 and reported this morning by Engadget, Microsoft formally made an offer to buy Yahoo today. There is a long way to go from making an offer to actually acquiring & integrating Yahoo into Microsoft, but the concept of the two Web 1.0 companies getting together to battle the new world online order is intriguing.

The fact that Yahoo’s shares have also dropped around 15% year to date also means Microsoft probably saved around 5 billion by making an offer now.

Acquiring Yahoo is clearly a strategic play to counter the growing dominance of Google on the interweb which now includes an impressive lineup of “office” like applications available for free.  

Given Yahoo’s relative success in the mobile space and Microsoft’s investment in facebook last year, it looks like they have armed themselves for a good fight… but the question is, are they too late? 

Will the new Micro-hoo really be Micro-who before long? 

  • http://www.surefirewealth.com/blog/ Julie, writer surefirewealth.c

    Interesting. I wonder what changes Yahoo will undergo under Microsoft? Right now, it’s like Apple and Google are on top of their game. This just might the Internet a little bit more exciting. Or maybe it’s Microsoft who will undergo some changes. Personally, I think there’s a lot these two companies can do when combined. But I’m also more of an Apple and Google person so I guess we’ll all just have to wait and see what they come up with.

  • http://www.surefirewealth.com/blog/ Julie, writer surefirewealth.com

    Interesting. I wonder what changes Yahoo will undergo under Microsoft? Right now, it’s like Apple and Google are on top of their game. This just might the Internet a little bit more exciting. Or maybe it’s Microsoft who will undergo some changes. Personally, I think there’s a lot these two companies can do when combined. But I’m also more of an Apple and Google person so I guess we’ll all just have to wait and see what they come up with.

  • http://blogtillyoudrop.wordpress.com/ Lolly

    Knowin that Yahoo is owned by Microsoft might piss a few people off! (excuse my French!)

  • http://blogtillyoudrop.wordpress.com Lolly

    Knowin that Yahoo is owned by Microsoft might piss a few people off! (excuse my French!)