Yahsoft or Microhoo? We
Report, You Decide!
By Alan Zeichick
for Yahoo is
all about the money. Specifically,
The move shouldn’t have been
a surprise. All the stars were in
alignment: Microsoft is scared
silly about Google’s increasing
dominance of online search and
online advertising. Yahoo contin-
ues to flounder, not knowing
exactly how to leverage its large
user base and tremendous vol-
ume of content. Meanwhile,
Microsoft has been left out in the
cold, as its online properties fail
to generate traction with Web
surfers or cash for the coffers.
“We have great respect for
Yahoo!, and together we can
offer an increasingly exciting set
of solutions for consumers, pub-
lishers, and advertisers while
becoming better positioned to
by establishing a compelling
number two competitor for
Internet search and online advertising. The alternative scenarios
only lead to less competition on
the Internet,” wrote Brad Smith,
general counsel for Microsoft.
The Redmond, Washington-based giant cites Google’s 75 percent share of paid search
revenues as justification for the
move, implying that the move
would be good for consumers.
“Microsoft is committed to
openness, innovation, and the
protection of privacy on the
Internet. We believe that the
combination of Microsoft and
Yahoo! will advance these
goals,” Smith added.
This story was unfolding on
deadline for this issue of
net Worker; it’s too soon for us to
report how it plays out, and
whether The Empire (Google)
will strike back. Yahoo, meanwhile, has said only that it’s evaluating the unsolicited proposal.
It’s interesting that the bid