I wouldn't like it if Microsoft would buy Yahoo. The main reason why I switched from Google (as search engine) to Yahoo is because they don't have such a big monopoly. Everything I did was google, google and yet again ... google, it almost felt like they were taking over the web

Microsft are buying out yahoo for the purpose of enlargening their already massive monopoly on many things, especially on the internet. Yahoo I have never really liked as a search engine and didn't use it, but it would be sad to see them lost to microsoft. But that's what big businesses do. Try and eliminate the competition, and if they can't, buy them out and pull code from the company they bought out's services, then dissolve anything to do with the bought-out company.

It looks like someone predicted this more than one year ago:

http://www.shoemoney.com/2006/12/16/10-rea...-yahoo-in-2007/

By the same token, Google could buy MS if they wanted to. Microsoft has no debt, it's an asset. All Google needs to do is put up enough equity to arrange financing. That amount could vary greatly depending on the source of the funding and stock prices of both companies.
Ballmer has staked his reputation on this bid. By going hostile, Microsoft is attempting to shed its image as a stodgy old tech firm. They have a lot invested in getting this done.
Losing a nasty, protracted clash could not only humiliate Steve Ballmer but also let Google further cement its place as the unrivaled king of the internet.
At a minimum, losing the proxy fight would mean that Microsoft would have wasted valuable time, attention, and money. Worse, it could ensure that Google will face no "credible" rival for years to come, to use a term favored by Microsoft executives.
The stakes are high. With Steve Ballmer, as usual, this is not just business, it's personal. Losing the proxy fight would be a humiliating defeat for Ballmer, a repudiation of his argument that Microsoft's bid represents the best way to create value for Yahoo shareholders.
Now that Yahoo has turned down Microsoft's opening bid of $31 per share, and Microsoft is standing pat, for the moment, the two adversaries are locked in a game of billion-dollar chicken.
The logic behind a proxy war stems from Yahoo's poison-pill provision, which prevents a single shareholder from acquiring more than a 15 percent stake in the company. Because Microsoft can't simply buy the company outright, it must nominate a new slate of directors and convince Yahoo shareholders to vote them onto the board. The new board would then dismantle the poison pill, allowing the merger to take place.
In the event of a proxy fight, the odds are against Yahoo. Yahoo's board is not staggered, meaning that all directors face reelection every year, and directors need only win a plurality of votes.
Microsoft probably underestimates the challenge that it faces in trying to win over Yahoo shareholders. Proxy fights against management's recommendation are an uphill battle. Microsoft's own shareholders might object to a protracted and nasty fight.
And, of course, there is always a possibility that a white knight could emerge once the proxy fight is underway. Yahoo is in talks with News Corp., Google, and Time Warner's AOL.
Whether by raising its bid above $31 per share, or by taking the merger directly to Yahoo shareholders in the form of a proxy fight, Microsoft will probably prevail. But losing the fight would be a billion-dollar black eye for Microsoft.

This post has been edited by dserban: Feb 21 2008, 01:32 PM

That's what this guy said and I quote him on my Facebook:
-- Scott McNealy's (Sun Microsystems) criticism of Microsoft

I have yet found one Microsoft invention. Even Windows can't be called an invention because elements were taken from Apple which took it from Xerox PARC.

xboxrulz

Yet another thing Microsoft is trying to eat up... I mean it is hard to find things that are free or cheap... sounds a bit weird, but I am not made of money. I try my best to try to keep up with my forums and it is not all that easy. I find Astahost incredible, not just because it is free, but it is a chance for me to be able to use my craft for my family and friends.

A lot of users in the world depend on freeware, and when huge companies take them over, then usually it becomes subscription usage. If I wanted to put my money into what I do, I am able to do so... I am not dirt poor, but yet I understand the meaning of the dollar, and I also use my resources well. I am proud of the admins around here, because I am sure it is not all that easy to try to keep up with all of the free users here on the site, but I am happy and I try not to take advantage.

So Microsoft is planning on buying everything up on the net... I am just hoping that the company uses it wisely, because it is a HUGE investment, because Yahoo is everywhere on the web.

I guess we should just wait and see, and I guess I may have to put more time into Gmail, just in case.

- skedad -

I really hope this deal doesn't go down. I'm a dedicated flickr user, and flickr just wont be the same if Microsoft took over I imagine. Also yahoo and rogers have a deal too, so I have flickr pro for free because my ISP is rogers. So if Microsoft took over, I could loose my unlimited uploading which would really suck, flickr is the best photo sharing sites out there.

Hell, instead of using Flickr, I use Facebook ... since I'm using it anyways. Good thing Yahoo! didn't swoop up Facebook, else I'm doomed.

I hope those regulators get their lazy butt out and stop this monstrosity.

xboxrulz

I thought something was up when Yahoo! stocks when up 47% the other day. For some people that’s good, but I don't really like Microsoft buying out other companies even if they are not do so well. I looked and I thought for sure someone messed up entering the opening price. Not to often you have jump like that (upward at least). I think that Microsoft probably will buy out Yahoo! I just don't see why don't. Don’t they already have MSN and Hotmail? Now maybe Yahoo? I guess people have two chooses either Google or Microsoft for email, finance, search est.

Sparkx

I think this might trigger a larger migration from Yahoo to Google if the buyout does succeed as people are taking refuge from Microsoft ... that's why people fled to so many places like Google and Yahoo in the first place.

xboxrulz

i just heard this news a few hours ago on TV, if this is gonna happen, then the search engine market will enter into a new stage. Live will own the rest of the 34% market share and i believe Google will make some strategic move to defend its current position.