MelkoSoft buys Yahoo!
Rumor has it that Microsoft is buying yahoo!
The deal is valued at approximately $ 50 billion.
This morning, the Wall Street Journal, and then other publications, reported on negotiations between Microsoft and Yahoo! about selling the last first. Shares jumped 11-13%, and as a result, today I am no longer a shareholder of Yahoo!
These negotiations are not held for the first time, and about a year and a half ago, Yahoo! was in a similar situation where the fall in stock value sparked Microsoft interest. Interest itself, ironically, is constantly leading to an increase in the stock price of Yahoo !, after which the largest shareholders of the company say that the company is now on the rise, and it would be foolish to sell. Perhaps the situation will be resolved similarly this time, especially since right now the company's capitalization is $ 42.6 billion, while according to the Wall Street Journal, the price offered by Microsoft is $ 50 billion.
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I have always doubted the ability of such a deal to somehow change the market. Why does anyone buy someone? Most often this is done because of the ability of the alliance to achieve more than separately. In the case of Yahoo! + Microsoft, there is not much synergy, since both projects duplicate each other's capabilities. Yahoo! Mail and Hotmail, Yahoo! Search and MSN / Live Search, Yahoo! Messenger and MSN Messenger, MSN AdCenter and Panama - all of these projects overlap, if you don’t go into details. Microsoft has nothing that Yahoo! would be in dire need, the only thing that Yahoo !, which Microsoft does not have, is traffic, although everything depends on how you count, and the flow of unique visitors to * .microsoft.com + * .msn.com + * sites. live.com is higher than traffic on * .yahoo.com (which in the process is also inferior to traffic on * .google.com).
In many publications now you see the phrase that the alliance could “fight Google” more effectively, although the secrets of this effectiveness are also not obvious. Earn more money by being together, companies are unlikely to be able to - today Yahoo! generate such traffic that Yahoo! unable to sell shows of all banners, hence the purchase of the auction house Right Media. Every time on the pages of Yahoo! you see another company's advertising service, Yahoo! It does not monetize this particular page due to the lack of demand for such a proposal. Combining the traffic of large giants - Yahoo! Mail and Hotmail, an alliance of the two companies will receive even more unsold inventory.
The theoretically possible increase is the unification of Yahoo! Panama and MSN AdCenter. Let me remind you that not so long ago, the company Overture served Microsoft Web-projects, and the contract was not extended due to the purchase of Overture by Yahoo! After that, Microsoft began developing its own AdCenter, but the monetization of the latter leaves it to be expected to be better, since a critical mass of advertisers are needed to get normal profits, and this process takes time. By combining the Panama and AdCenter interfaces, Microsoft could dictate uniform prices for search results on Yahoo! Search, MSN Search, Live Search and other search engines, and this is one of the few options for increasing the total earnings of both companies. Except that the inventory of all search engines is combined, which may affect the final monetization of search engines.
It is even trivial to mention the differences in the platforms and technologies used by companies. It is unlikely that engineers Yahoo! will begin to transfer the technologies developed over the years from FreeBSD to Microsoft® Windows® Server Datacenter Edition ™, from MySQL and Oracle to Microsoft® SQL Server ™, the total purchase of equipment and places in data centers will be difficult to integrate.
I don’t know how it is now, but for quite a long time past options for Yahoo! (non-engineers) included the possibility of instant Westing in the event of a company purchase. Even if Microsoft is not interested in preserving the leadership of Yahoo !, options that ripen on the day of purchase can take up to a billion dollars of assets from the company.
The deal is valued at approximately $ 50 billion.
This morning, the Wall Street Journal, and then other publications, reported on negotiations between Microsoft and Yahoo! about selling the last first. Shares jumped 11-13%, and as a result, today I am no longer a shareholder of Yahoo!
These negotiations are not held for the first time, and about a year and a half ago, Yahoo! was in a similar situation where the fall in stock value sparked Microsoft interest. Interest itself, ironically, is constantly leading to an increase in the stock price of Yahoo !, after which the largest shareholders of the company say that the company is now on the rise, and it would be foolish to sell. Perhaps the situation will be resolved similarly this time, especially since right now the company's capitalization is $ 42.6 billion, while according to the Wall Street Journal, the price offered by Microsoft is $ 50 billion.
')
I have always doubted the ability of such a deal to somehow change the market. Why does anyone buy someone? Most often this is done because of the ability of the alliance to achieve more than separately. In the case of Yahoo! + Microsoft, there is not much synergy, since both projects duplicate each other's capabilities. Yahoo! Mail and Hotmail, Yahoo! Search and MSN / Live Search, Yahoo! Messenger and MSN Messenger, MSN AdCenter and Panama - all of these projects overlap, if you don’t go into details. Microsoft has nothing that Yahoo! would be in dire need, the only thing that Yahoo !, which Microsoft does not have, is traffic, although everything depends on how you count, and the flow of unique visitors to * .microsoft.com + * .msn.com + * sites. live.com is higher than traffic on * .yahoo.com (which in the process is also inferior to traffic on * .google.com).
In many publications now you see the phrase that the alliance could “fight Google” more effectively, although the secrets of this effectiveness are also not obvious. Earn more money by being together, companies are unlikely to be able to - today Yahoo! generate such traffic that Yahoo! unable to sell shows of all banners, hence the purchase of the auction house Right Media. Every time on the pages of Yahoo! you see another company's advertising service, Yahoo! It does not monetize this particular page due to the lack of demand for such a proposal. Combining the traffic of large giants - Yahoo! Mail and Hotmail, an alliance of the two companies will receive even more unsold inventory.
The theoretically possible increase is the unification of Yahoo! Panama and MSN AdCenter. Let me remind you that not so long ago, the company Overture served Microsoft Web-projects, and the contract was not extended due to the purchase of Overture by Yahoo! After that, Microsoft began developing its own AdCenter, but the monetization of the latter leaves it to be expected to be better, since a critical mass of advertisers are needed to get normal profits, and this process takes time. By combining the Panama and AdCenter interfaces, Microsoft could dictate uniform prices for search results on Yahoo! Search, MSN Search, Live Search and other search engines, and this is one of the few options for increasing the total earnings of both companies. Except that the inventory of all search engines is combined, which may affect the final monetization of search engines.
It is even trivial to mention the differences in the platforms and technologies used by companies. It is unlikely that engineers Yahoo! will begin to transfer the technologies developed over the years from FreeBSD to Microsoft® Windows® Server Datacenter Edition ™, from MySQL and Oracle to Microsoft® SQL Server ™, the total purchase of equipment and places in data centers will be difficult to integrate.
I don’t know how it is now, but for quite a long time past options for Yahoo! (non-engineers) included the possibility of instant Westing in the event of a company purchase. Even if Microsoft is not interested in preserving the leadership of Yahoo !, options that ripen on the day of purchase can take up to a billion dollars of assets from the company.
Source: https://habr.com/ru/post/7986/
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