by Richard Martin, May 5, 2008
Now that Steve Ballmer has taken his ball and gone home, three things have become clear about the failed Microsoft bid for Yahoo: 1) This deal is not dead yet; 2) Yahoo's future as an independent company is at any rate limited; and 3) Microsoft is playing in the wrong arena. Taking those in order: the blogosphere's minute examination of the collapsed $40 billion-plus offer has reached the level of close Shakespearean analysis, as in Henry Blodgett's Silicon Alley Insider column sifting through the dueling weekend announcements and blog postings from either side. The cries of wounded innocence from CEO Jerry Yang – "Gee, we had no idea they really meant 33 bucks a share!" -- Blodgett notes, "might lend credence to the theory that this is just another negotiating tactic by Microsoft -- a card played in the hopes that Yahoo's enraged shareholders will force the company into a deal."
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