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Microsoft to Acquire Yahoo for $20Billion

(November 29, 2008) After the Google-Yahoo deal had failed, it was again reported that Microsoft is currently on the talk to Yahoo (Yahhoo) to acquire Yahoo for $20 billion. However, Microsoft is now uninterested of Yahoo’s products but only Yahoo’s online search service.

Mathew finds Microsoft and Yahoo both desperate. Microsoft desperately wants Yahoo’s search services while Yahoo is running away from Microsoft.

Erick on the Techcrunch couldn’t believe the report about the deal to be true or realistic. It leaves a lot of questions like:

So how does the new deal generate twice as much income going into an economic downturn? And why would Microsoft agree to anything other than complete ownership of Yahoo’s search business? And how does the search business go from being worth $1 billion earlier this year to $20 billion in two years?

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