Thursday, March 06, 2008
Microsoft Should Give Up On YahooSome relationships (like Kid Rock and Pam Anderson, or any involving Britney Spears) just aren't meant to be.
Microsoft tried flowers and then a shotgun to woo Yahoo, but the company just ain't having any of it. While hostile takeovers may work in trucking or manufacturing, they won't work in the web world.
Internet companies are creative ventures, and the uppoer management and engineers at Yahoo will stop to produce if forced to become Microsoftians. Why would you want to pay a premium for an internet company when much of the talent wants to leave? Also, any Microsoft staff who would be tossed aside because of redundant tasks would leave ill will that would carryover to the remaining employees.
Microsoft will have overpaid and won't see close to the benefits that they originally envisioned. If you want traffic, or advertising, or whatever, there are many smaller players who would be happy to be purchased.
By John Gartner at 08:09 PM | Comments (1)