This was the 'big' news when I turned on the TV at 6:30 am.
Microsoft is offering USD44.6 billion for Yahoo. It is about USD31 per share which, in turn, is 60+% the current stock price.
I read an article? Op Ed? Column? in the Economists? Fortune? Onset senility?
Anyway, companies doing BIG, SPLASHY, FANTASTIC M&A (Mergers & Acquisition) deals are usually ones bereft of ideas or have ideas that flopped more than once resulting in flat or falling stock price which results in 'investors' calling for rolling of heads, perform Voodoo rites, Exorcism... to boost stock price. Poor Vista sales, poor Zune sales, Xbox 360 warranty woes...
And I agree this is one of those deals.
But Microsoft, at least, seems to have timed it well. They struck while Yahoo's stock is low due to another poor quarter (and was, in fact, laying-off employees), again, resulting in lower stock price. I believe, Yahoo was attempting to match Google's efficient paid-search result advertising auctioning since 2006. Apparently, that has failed.
Come to think of it... the only time I see Yahoo page is when I log-out. Usually it is Google, Google, and Google.
And... if the deal does go through and Microsoft forces Yahoo Mail users to Hotmail...
Well, at least there's Google Mail.
