YAHOO BATTLES ON…
So the little web that could ain’t going down without a fight. And it’s a nice thing to see. Although Yahoo’s reported first-quarter earnings tripled last year’s figures ($542M roughly 32 cents a share), and only offered meager support to its bid request of $45 billion in its attempt to fend off Microsoft’s takeover, its nice to see that they’re, at the very least, headed in the right direction. Yahoo’s first quarter performance, which climbed 9%, in total revenue, exceeded analysts’ expectations that were landing Yahoo roughly $30 million less. Need a visual? GO HERE
So what does this do for Yahoo in light of its looming acquisitor, Microsoft?
Unfortunately, not a whole lot…
Even if Yahoo can back up their $45 billion claim with shares showing incremental pickups, Microsoft has already threatened to oust Yahoo’s board of 10 directors if the company doesn’t accept the bid by Saturday- yeah, this one coming up! It’s a shame that prospective benefits yet to be yielded from Yahoo’s expanded Internet advertising network won’t quite kick in until 2009.
There’s that whole thing with Google, right? Well, a partnership with Google might give Yahoo’s shares a little boost, but not without generating serious concerns.
According to Time, “analysts believe a long-term partnership between Yahoo and Google would be difficult to pull off because of the antitrust concerns that would be raised, given the two companies control more than 80 percent of the U.S. search market”.
So this still leaves Yahoo fending for itself and with a proxy fight looming large…
Proxy fight? Don’t worry, we didn’t know what it was either. Go here and see how a hostile takeover works.
… looming large we can only hope Microsoft understands a very important point. Merging 2 companies is in itself a major undertaking considering the convergence of disparate work cultures and technologies. With Yahoo’s cooperation, this seemingly unavoidable transition would go much smoother.
These businessmen certainly look hostile