Feeds

Potential suitors throw Yahoo! to the wolf

Forrester eats its research

Internet Security Threat Report 2014

Yahoo! can marry Microsoft or remain an old maid with a less than rosy financial outlook. Those are the options. And we're being kind including one of them.

In the wake of Microsoft's $44.6bn bid for the struggling web giant, many asked whether other mega corporations might jump in with their own bids. In fact, the issue was raised during the conference call where Steve Ballmer and company discussed their jaw-dropping offer with industry analysts, and even Microsoft general counsel Brad Smith said "Obviously, any number of companies might have an interest."

But just days later, most of the potential suitors have fallen by the wayside. Yesterday, during his company's latest earnings call, News Corp. chairman and chief executive Rupert Murdoch said he was uninterested in Yahoo!, and The San Francisco Chronicle reports that media giants Comcast and NBC Universal have said eh-eh as well.

Well, there's one corporate behemoth who's at least interested in partnering with Yahoo! in an effort to fend off a Microsoft takeover. But that corporate behemoth is Google.

"As I said, any number of companies might take an interest," Brad Smith continued during that Microsoft call. "I think there's really one company that cannot. That's Google itself. Given that Google has roughly a 75 per cent market share worldwide for online paid search they are not in a position to do this. Given its super dominant market share, Google is clearly prevented by the antitrust laws from buying Yahoo! or buying this business from Yahoo!"

For once, we agree with Mr. Smith. And we'd go even farther to say that even a Yahoo!-Google partnership would ring those anti-trust alarms.

The fact of the matter is that Microsoft is the only company with the dough and the inclination to acquire the Yahooligans. Jerry Yang's only other option is to keep Yahoo! an independent company, and that's a long shot at best, considering the deal Steve Ballmer has waved at Yahoo! shareholders. As The Wall Street Journal reports, Yang's best - and perhaps only - option is "to play hard to get," hoping for a few extra billion. ®

Bootnote

On his blog Rough Type, tech-minded author, speaker, and friend of The Reg Nicholas Carr says that he opened up his email client to find a note trumpeting the latest reports from Forrester Research. One of these reports - issued on January 31, a day before Microsoft announced its bid for Yahoo! - was called "Microsoft Will Make Small Acquisitions: Its Size, Visibility To Antitrust Bodies, And Strategy Rule Out Big Deals."

Analysts? Gotta love them.

Beginner's guide to SSL certificates

More from The Register

next story
WHY did Sunday Mirror stoop to slurping selfies for smut sting?
Tabloid splashes, MP resigns - but there's a BIG copyright issue here
Spies, avert eyes! Tim Berners-Lee demands a UK digital bill of rights
Lobbies tetchy MPs 'to end indiscriminate online surveillance'
How the FLAC do I tell MP3s from lossless audio?
Can you hear the difference? Can anyone?
Inequality increasing? BOLLOCKS! You heard me: 'Screw the 1%'
There's morality and then there's economics ...
Google hits back at 'Dear Rupert' over search dominance claims
Choc Factory sniffs: 'We're not pirate-lovers - also, you publish The Sun'
EU to accuse Ireland of giving Apple an overly peachy tax deal – report
Probe expected to say single-digit rate was unlawful
While you queued for an iPhone 6, Apple's Cook sold shares worth $35m
Right before the stock took a 3.8% dive amid bent and broken mobe drama
prev story

Whitepapers

A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.