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Microsoft must be buying Yahoo! (Part 74)

The Blodget budget assessment
Friday, 16 November 2007, 17:37

RUMOURS THAT Microsoft might buy Yahoo have been around since Janice Dickinson had her original body, but Henry Blodget is one who thinks this could be a real deal.

Blodget, the former Merrill Lyncher who got into a spot of trouble for allegedly bigging up stocks in public and denigrating them privately, has an interesting blog on the theme today.

He writes:

"We're going to go out on a limb here and assume that Microsoft division president Kevin Johnson is not a moron. So we are also going to assume that, when Johnson said yesterday that Microsoft plans to grow its search share from 10 per cent to 30 per cent and its online ad share from six per cent, he could not possibly be imagining that Microsoft could do this on its own.

"So that set us thinking: How could Microsoft actually achieve those goals?

"Answer? (And there's only one answer). Buy Yahoo.

"Buying Yahoo would give Microsoft 30per cent search share instantly. It would also boost Microsoft's ad share close to that 40 per cent goal."

Despite this logic, Blodget still believes a Microsoft buyout would be " disastrous" for Yahoo. µ

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Comments
Vole my broadband?

If this were true - it would be scary how close it would bring BT and Microsoft in the UK. 

In the UK, BT Broadband and Yahoo! are already in cahoots.

I shudder to think what Microsoft in control of my broadband (as well as my PC!) would do.

And no way could the government in blighty regulate MS like they do with BT.

posted by : JL, 16 November 2007 Complain about this comment
that trick never works, pinky

People in the! Yahoo! office! love these rumors - mostly because it makes the stock price go up.

posted by : nobody, 19 November 2007 Complain about this comment
so lovely rumor!:)

still the same rumor, in some "i see in my crystal ball" things!:) funny, but not possible!

it's like to say, yahoo will sell kelkoo in europe!:)

posted by : zehunter, 19 November 2007 Complain about this comment
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