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Yahoo Says Ya-Noo!

Yahoo's board of directors this weekend formally rejected Microsoft's takeover offer. The board apparently wants either more dough or to hook up with a different partner, such as Google (which would raise antitrust concerns) or AOL.

I'm no stock market whiz (and have the losses to prove it!), but as I understand it, the Microsoft bid was a huge premium over Yahoo's existing share price. And Microsoft offers the ailing Yahoo resources, market share and commitment -- things Yahoo needs.

On the flip side, I still don't think this deal is in Microsoft's best interest, especially if it spends far more than the $44.5 billion it already has on the table.

Instead of trying to out-Google Google, imagine what could be done if all that money were placed in the hands of a bunch of young, smart programmers and visionaries.

Posted by Doug Barney on February 11, 2008


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