Sunday, 6 April 2008

Microsoft's Yahoo strategy, will Google get involved?

According to the public poll on Mashable on whether Microsoft is still evil, as of today
56% believe it still is
21% believe it is not
20% believe it never was evil...

Google's blogged on the proposed takeover of Yahoo by Microsoft very early on. Google's code of conduct ("Don't Be Evil") would be lived up to by getting involved, which doesn't just mean to counter-offer. Ideas such as outsourcing Yahoo searches to Google will be pushed to have the effect of boosting shareholder confidence in Yahoo continuing to operate successfully and profitably in future. This in turn will not only keep shareholders supportive of the Board of Directors in their refusal of Microsoft's offer, but also convince them to vote against a direct offer by Microsoft for their Yahoo shares if it is made.

Yahoo has also been talking with folks outside of Google like the MySpace owners, News Corp, however the question remains as to whether they can crunch the numbers in time and develop the strategy to make viable a real counter-offer before Microsoft's hard deadline to Yahoo.

However, Google's leadership has in the past preferred the problem of moving too fast rather than too slow, even praising executives at the centre of huge loss-incurring incidents that result from such a position.
I wouldn't be surprised if not being able to totally mitigate the risk because of the timeframe involved didn't stop Google from pushing ahead any of their ideas, whether it be counter-bid or new joint initiative with Yahoo.