Microsoft Offers To Buy Yahoo

Neil Yeomans | 1:58 pm | February 1, 2008 | News

Microsoft has put in an offer to buy Yahoo for $44.6 billion (cash and stock). According to Reuters.com, this would signify the largest merger since AOL and Time Warner in 2001. Microsoft Chief Executive Steve Ballmer has stated:

We have great respect for Yahoo, and together we can offer an increasingly exciting set of solutions for consumers, publishers and advertisers while becoming better positioned to compete in the online services market.

Both MSN and Yahoo have experienced tremendous difficulties competing with Google’s ever-increasing breadth of products and market share. This merger could signify a move in the right direction to present a serious competitor to Google. Having said that, they have a long way to go before this would be achievable.