Microsoft recently made a $240 million dollar deal with Facebook and is now moving in on Google, by attempting to buy out Yahoo. Microsoft wants to buy Yahoo for 44.6 billion dollars. In a brief statement, Yahoo said it “will evaluate this proposal carefully and promptly in the context of Yahoo’s strategic plans and pursue the best course of action.”
According to the latest report by Nielsen Online, Yahoo and Microsoft combining forces will have a 31.5% market share. This puts them much closer to the internet search giant Google, at 56.3%, Nielsen said.
What does this mean for Microsoft’s network? Part of the deal with Yahoo, comes a partnership with Ebay, Inc. A combined Microsoft and Yahoo would also present a stronger competitor to Google and their networks that extend beyond the companies’ own Web sites. Google disclosed recent difficulty with partner MySpace.com, saying that it has struggled to present advertisements that attract active user interest, according to MarketWatch.
Microsoft already being partners with Facebook, bringing Yahoo to the table would mean even more advertising revenue for Microsoft.
Yahoo’s stock reacted instantly gaining over 45% on open today, while Microsoft and Google’s stock are down today.
Fri, Feb 1, 2008
Stocks