Reports from redOrbit are that Microsoft is under pressure NOT to sweeten the offer for Yahoo, for fears it will hurt Microsoft financial performance through 2011. Large investors who hold both Microsoft and Yahoo shares are most concerned, and there's some evidence this could happen by looking back at Oracle's stock drop after devouring a plate full of PeopleSoft.
Speculation is that Microsoft next move is to start politicking big Yahoo shareholders to put pressure on Yahoo's board to take the $31 per share offer.
As I've said previously, I still don't see the efforts by Yahoo to swing a deal with News Corp. bearing any fruit. And the number of white knights who could pull together this counter offer to Microsoft's bid are far and few between. Yahoo's weak attempts at poison pills (golden parachute deals for employees) could be a sign that the board is only willing to go so far to avoid a takeover by Microsoft.
This deal is starting to parallel the presidential primary race, with nightly analysis of whether one side has enough to pull ahead and take the lead, or if we've still got a horse race. Microhoo isn't a done deal by any stretch but I think there's still a very good chance of this deal happening.
Like this? Here are some of Mitchell's recent posts.
Rather Fight Than Switch: Vista SP1 or XP SP3
Yahoo Battleground Moves To The Employees
Failure Is An Option, Just Do It Early
Google Android Learned From iPhone's Mistakes
XLS/DOC/PPT Get Open Spec Promise
Check out Mitchell's Converging On Microsoft Podcast.
Also visit Mitchell's personal blog The Converging Network and SSAATY Podcast.
Visit Microsoft Subnet for more news, blogs, opinion from around the Web.
Sign up for the bi-weekly Microsoft newsletter. (Click on News/Microsoft News Alert.)
Mitchell Ashley is CEO and Chief Strategist of Converging Network, LLC, providing product and technology strategies to emerging technology companies. A serial entrepreneur, Mitchell has created many successful products and services in the networking, security, convergence, Internet and IT industries. In addition to blogging for NetworkWorld, Mitchell regularly blogs at TheConvergingNetwork and co-hosts the widely popular Still Crazy After All These Years podcast.
|
|
