Feeds

Microsoft's Yahoo! takeover faces technical challenges

Different platforms, different cultures

Build a business case: developing custom apps

Microsoft is in no hurry to integrate the technology and culture of Yahoo! should the aggressive takeover go ahead.

The comments might seem a little premature, but differences in culture and technology have already arisen as possible barriers to the deal. Of course, there are other more pertinent barriers too - like Yahoo!'s board of directors.

Microsoft chief software architect Ray Ozzie told the Financial Times last week that he would not rush to merge the technology backbones of the two, even if this meant delaying some of the benefits of combining the two firms.

Ozzie said: "I'm not in any way unrealistic about the challenges that would confront us. They have a number of different types of technologies. They have their own corporate culture."

Yahoo! is a mixed bag of technology with a large proportion of its systems running open source or Unix software. Microsoft is, of course, mostly a Microsoft shop.

Ozzie told the paper he remained optimistic about the benefits of the deal.

Ray Ozzie was one of the creators of Lotus Notes, which was bought by IBM in 1995. He said he had learnt lessons from going through that process. He joined Microsoft three years ago.

Microsoft has mostly grown organically rather than by acquistion. It has never paid as much for a company as it is trying to pay for Yahoo!. Nor, arguably, has a previous purchase played such a central strategic role.

Ozzie also talked about the challenges of getting Microsoft to offer its technologies as online services using data centres. Most recently it began offering online versions of Sharepoint and Exchange for US customers - it hopes to start charging for the service, currently in beta, later this year. The company is also picking up data centres to support this push.

More from the FT here. ®

Boost IT visibility and business value

More from The Register

next story
NO MORE ALL CAPS and other pleasures of Visual Studio 14
Unpicking a packed preview that breaks down ASP.NET
KDE releases ice-cream coloured Plasma 5 just in time for summer
Melty but refreshing - popular rival to Mint's Cinnamon's still a work in progress
Leaked Windows Phone 8.1 Update specs tease details of Nokia's next mobes
New screen sizes, dual SIMs, voice over LTE, and more
Another day, another Firefox: Version 31 is upon us ALREADY
Web devs, Mozilla really wants you to like this one
Put down that Oracle database patch: It could cost $23,000 per CPU
On-by-default INMEMORY tech a boon for developers ... as long as they can afford it
Secure microkernel that uses maths to be 'bug free' goes open source
Hacker-repelling, drone-protecting code will soon be yours to tweak as you see fit
Mozilla keeps its Beard, hopes anti-gay marriage troubles are now over
Plenty on new CEO's todo list – starting with Firefox's slipping grasp
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.