Interesting, Yahoo is playing the choosing game now since both giants want a piece of Yahoo somehow. A Google-Yahoo pact would be interesting since Google isn't buying out the company and they are helping Yahoo and the consumer in the process. However, Microsoft is a definite take over, which we know is bad for the consumer (historically).

xboxrulz

A surprising turn of events had occurred, Yahoo has since turned down Microsoft's hostile take over. Yahoo rationalizes that their company worth a lot more than what Microsoft's offer. At $31 per share, Yahoo said that, that is too little. They wanted a lot more, they were looking at more than $40 per share, which is around $56 billion dollars. Microsoft is already requiring a loan in order to pay off the $44.6 billion if the acquisition did go through. So it's now even harder for Microsoft to convince shareholders to allow Microsoft to borrow more money to get the deal closed.

More on Ars Technica: http://arstechnica.com/news.ars/post/20080...-say-nohoo.html

xboxrulz

Well, the moral of the story is that if Microsoft was so smart and cash rich they could have grown their own internet business. And we all know how hard they tried. That's why their high bid price isn't a sign of stupidity, it's a sign of desperation.

If Yahoo! and Google became partners then that would be great because both of them have great products and they could definitely improve if they shared there ideas and stuff. As for Microsoft, it doesn't look like it will acquire Yahoo! anytime soon unless they raise their bid by a few billion.
More info here: http://www.ctv.ca/servlet/ArticleNews/stor...209?hub=SciTech

I seriously don't think Microsoft would be that dumb to pay more, unless they are actually that desperate to be on top of Google. We know that Microsoft wants to be always on top of the pack, and be all monopolistic. Why not a smaller company like ... umm... Ask? or Lycos?

xboxrulz

ok, Microsoft looks really really really desperate right now, they will lobby Yahoo's shareholders to accept the bid. I ask, what person in the world doesn't see this as a desperate measure anymore.

http://www.cbc.ca/technology/story/2008/02/11/yahoo.html

Your take?

xboxrulz

Maybe people in the know both at Microsoft and Yahoo know something the rest of us don't. Maybe it has to do with the impending recession in the US, we can only take wild guesses. Although companies like Yahoo would be among the first victims of a protracted recession. But anyway, there is really no synergy in Microsoft buying Yahoo.
Yahoo really has nothing that is not already present in Microsoft's offerings.
So just reducing the number of competitors won't make Microsoft any more money in the long term.
So I say go ahead and knock yourselves out, Microsoft.