Microsoft Opens Talks With Yahoo! Again, Perhaps With an Eye on Search Technology?

May 19, 2008 | 3,224 views | by Navneet Kaushal
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Microsoft is at it again! In a statement released on Sunday, May 18, it put before Yahoo! a new deal that does not seek to acquire all of Yahoo. Microsoft's press release reads “In light of developments since the withdrawal of the Microsoft proposal to acquire Yahoo! Inc., Microsoft announced that it is continuing to explore and pursue its alternatives to improve and expand its online services and advertising business. Microsoft is considering and has raised with Yahoo! an alternative that would involve a transaction with Yahoo! but not an acquisition of all of Yahoo! Microsoft is not proposing to make a new bid to acquire all of Yahoo! at this time, but reserves the right to reconsider that alternative depending on future developments and discussions that may take place with Yahoo! or discussions with shareholders of Yahoo! or Microsoft or with other third parties.” With this new offer, Microsoft Corp. seeks to continue its aim of expanding its online services.

Yahoo! made a quick reply to the statement and in its press release, it declared “Yahoo! has confirmed with Microsoft that it is not interested in pursuing an acquisition of all of Yahoo! at this time. Yahoo! and its Board of Directors continue to consider a number of value maximizing strategic alternatives for Yahoo!, and we remain open to pursuing any transaction which is in the best interest of our stockholders. Yahoo!'s Board of Directors will evaluate each of our alternatives, including any Microsoft proposal, consistent with its fiduciary duties, with a focus on maximizing stockholder value.”

Microsoft sure loves to keep surprising with its new expansion aims. But the most intriguing part of this new development is the question that what exactly Microsoft Corp. intends to buy. Speculations are rife that perhaps Microsoft has set its eyes upon Yahoo! Search Technology or Yahoo! Search Marketing. The renewed Microsoft efforts tend to prevent any collaboration on advertising between Google and Yahoo! This will also avoid a proxy battle between Yahoo! and investor Carl C. Icahn, who has been fuming over the failed takeover talks.

With these new developments, the coming days will sure unfold more drama and keep the people at Microsoft and Yahoo! busy.

4.thumbnail Microsoft Opens Talks With Yahoo! Again, Perhaps With an Eye on Search Technology?

Navneet Kaushal

Navneet Kaushal is the founder and CEO of PageTraffic, an SEO Agency in India with offices in Chicago, Mumbai and London. A leading search strategist, Navneet helps clients maintain an edge in search engines and the online media. Navneet's expertise has established PageTraffic as one of the most awarded and successful search marketing agencies.
4.thumbnail Microsoft Opens Talks With Yahoo! Again, Perhaps With an Eye on Search Technology?
4.thumbnail Microsoft Opens Talks With Yahoo! Again, Perhaps With an Eye on Search Technology?