Yahoo.com - the 2nd largest search engine is up for grabs. Or it looks so. With some media barons and companies interested it does seem so . After seeing Yahoo! Inc. in the news for over a month, all of us must be wondering what the present status is?
I am reminded of a game[musical chairs] i played in my childhood - where all my friends ran around a few chairs and the lucky ones got the chairs just as the music stopped. The Yahoo case seems analogous and same.
Yahoo! has been largely unsuccessful with everything that they have done in the past year.
1. Their Yahoo! Videos are not at all visited losing popularity.
2. They have no stronghold against the likes of orkut, facebook, myspace, hi5 etc.,
3. Their share in the Search Engine Market has diminished - Google is lording over all.
4. Their advertisment initiatives , trying to mimic Google Adsense , have failed horrendously.
5. Their acquisitions have been completely useless. Yahoo! Geocities has failed to live up to its reputation. Geocities had been bought years ago, for some $4 billion odd (i don't remember the figures) and is not even worth $40 million now.
6. And lastly, comparing profits of Google, Microsoft and Yahoo , we see Microsoft is clearly ahead with $ 14 bn , with Google at $4.2 bn, and Yahoo languishing at a paltry $ 0.7 bn.
Still , still, they have the audacity to ask for a $47 bn buyout from Microsoft. Longtime CEO of Microsoft, Steve Ballmer completely walked out of the deal and never returned to negotiate. However, billionaire investor Carl Icahn is waging a proxy battle to unseat the whole board of directors of Yahoo! Inc. Now when Microsoft have expressed their displeasure at buying yahoo! why the hell do so many people like Carl Icahn have to come onto the scene. The closest assumption to that is that Carl with the backing of Paulson[another billionaire bigshot] are pumping a few billions so that they can sell their stake to Microsoft directly. This may even be a planned move by Microsoft - so all of you, better watch out!
Coming back to the game of musical chairs, I'm wondering when the music will stop and the lucky ones will get their chairs. Till then, goodbye!!