Wow, so Microsoft says – we raised the bid from $31/share to $33/share. Yahoo still decides to be stubborn and says, nope, we are worth more. So, here we are. When i read the email on Sat night from Ballmer, i had mixed emotions. I really had feeling that this deal will go through and it was just matter of time. However, when i read the news, i was kinda of glad that Ballmer decided what he decided. I heard him at the company meeting on Thursday and it was apparent on his face that he was stressed out but he made sense and he was talking logically. The best part was: “i know what Yahoo is worth” and “Yahoo is NOT the strategy, it is part of the online strategy”. So we’ll see how market reacts tomorrow to this announcement.
So what did we learn from all these?
1) Microsoft is darn serious about online advertising and search
2) Yahoo is willing to be sold to a highest bidder and has given up on fighting Google
3) Google will do everything possible to steal the show and make MSFT look bad [However, i must say G is really smart. G and Y are working together to make Y’s search inventory like an auction system]
There we have it. This kind of stuff makes being in online advertising world exciting. Now, i just wish FB would figure something about it’s revenue stream. G only has one competition at this point and it’s FB. If FB were to go public tomorrow, i would so buy it’s stock. I regret not buying G’s stock when it went public.
Anyway, now the question becomes: How will market react to this announcement? Will Y’s stock price go down (i believe it will significantly) and what will happen to MSFT’s stock price? I read somewhere that Yahoo is doing everything possible to to get a deal with Google done before market opens on Monday to reduce the drop in it’s stock price.
Exciting times 🙂
T
Learn, Have Perspective and Grow 