The Guardian UK has an analysis piece on the potential Microsoft (MSFT) buyout of Yahoo (YHOO).
From the Guardian:
Microsoft’s $44.6bn (£22.5bn) offer for Yahoo confirms months of speculation that the two companies would join forces to tackle Google’s domination of the online advertising market.
If Yahoo’s board accepts the deal, it would be one of the biggest ever takeovers in the technology or media industries and herald a new and more challenging era for Google.
Yahoo is seen as a more consumer friendly brand than Google, but one that is less technologically efficient and has not been as commercially focused.
Microsoft, meanwhile, has a diverse and ubiquitous range of technologies that have made it a household name, but similarly one that has not been seen as consumer friendly as Yahoo.
This Google fixation is unhealthy. Sure this will put a kink in Google’s style but, for how long? The reason I ponder this question is that there is pattern of buy vs build and Microsoft is drifting away from its roots and core competencies. Rather than thrashing about Microsoft could do themselves a world of good by improving their core products such as Vista and innovating. But that would require some visionary leadership.
How will this takeover, assuming it happens and frankly Yahoo would be nuts to pass on it, affect the email users of Yahoo or conversely Microsoft? Yahoo has a bit of a spotty record here.
At two recent conferences I attended, Microsoft employees were very candid when speaking to me about the lack of solid leadership that has been provided to date by Ballmer. While I have grumped about Microsoft products in the past it is clear that the company is in dire need of new leadership to help them navigate the choppy waters ahead. Sure they have potentially gobbled up a search engine with a 17% market share but, did anyone bring the Pepto?
[tags]Microsoft Yahoo Buy, Microsoft Yahoo Bid, Microsoft, Yahoo[/tags]