Saturday, 2 February 2008

Microsoft Makes a Billionary Offer to Buy Yahoo

After one month without write anything in this blog (probably, due to mood reasons), I'm back to comment the billionary offer ($44.6 billion) that Microsoft made to buy Yahoo!

Obviously, this resolution is one strategy to try to "stop" the giant Google whose leader Internet search engine promoted the firm and allowed them develop and launch other sucessfull products on the Internet (GMail, Google Adsense, Google Adwords, Google Maps, Picasa and more) consolidating the firm on the top of technology companies.

This move can be a serious threat to Google's throne. In fact, if Microsoft and Yahoo! combine their engineering forces, marketing strategies and so forth, Google could see his privileged position in danger and this can be the origin of new and more sofisticated web applications.

Integration here is the key. The two companies have very different cultures. One is a desktop software applications company. The other is an internet services company. It is not just a question of integrating teams and cultures, what do you do with the brands? It will be Hotmail or Yahoo mail? It will be Windows Live messenger or Yahoo! messenger? So, there are many issues that need to be solved.

Microsoft has already tried to do this strategic move last year, but it was refused by then Yahoo! CEO Terry Semel.

If this integration is made, will we see other integrations of this type? What about an Apple-Google integration? Only time can answer these and other related questions

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