The bad news continues for Yahoo. This week, as the Internet company cuts an estimated 1,100 jobs, it's also been hit with a shareholder lawsuit for refusing Microsoft's $44.6 billion buyout offer. Google has also reportedly shied away from an earlier offer to help Yahoo with its search advertising business in order to fend off Microsoft's bid.
Yahoo continues to look for alternatives. According to a source familiar with the matter, News Corp. and Yahoo have been in talks about forging some kind of a deal that would counter Microsoft's offer. The source did … Read more
Microsoft has renamed its enterprise health care business to something with a whole lot fewer Scrabble points.
The software maker said the Azyxxi product line, which Microsoft acquired in July 2006, will now be known as Amalga.
"One of the health care enterprise's biggest issues is that providers and executives can't access patient information when, where and how they need it," Microsoft health unit general manager Steve Shihadeh said in a statement. "Microsoft's Amalga products offer proven solutions that bring together information from across the health care enterprise into one, easily accessible view. In … Read more
Update: This blog post has been modified since it was first published. Click here for more details, or scroll to the bottom to see the original text.
A pro-consumer, bipartisan data-breach bill was stripped of most its provisions before its feeble remains were finally passed by an Indiana Senate committee on Tuesday.
This came after two weeks of intensive lobbying by AT&T, Verizon, Microsoft, and LexisNexis, all of which wanted to kill the bill. For the most part, they were successful.
Yahoo's second-largest shareholder is offering this assessment of Microsoft's proposed acquisition: Microsoft will need to "enhance its offer" to complete the deal; Yahoo will be in a "tough spot" if it wants to remain independent.
That judgment was included in the latest Legg Mason Value Trust newsletter by Bill Miller, the chief investment officer of Legg Mason Capital Management, which holds more than 80 million Yahoo shares.
Although the newsletter was released one day before Yahoo issued its rejection to Microsoft's buyout bid and Microsoft responded to Yahoo's rejection letter, some of … Read more
That's more than $1 million per employee for the company, which has 294 workers. However, the price tag makes some sense when you consider the company has taken in $225 million from investors and had been pondering an IPO.
Update 1 p.m. PST: Added analyst comments throughout.
While Microsoft is no Oracle when it comes to acquisitions, the company has been getting accustomed to cracking open its oversized wallet.
Historically, Microsoft has focused largely on smaller deals to acquire technology, as opposed to megadeals to buy established businesses. Microsoft is, of course, in the throes of a multibillion-dollar bid for Net pioneer Yahoo.
"It's a different type of acquisition for Microsoft," Directions on Microsoft analyst Matt Rosoff said of the Yahoo bid. "It's a new way of thinking." (Rosoff is a contributor … Read more
Microsoft on Tuesday released its February 2008 security bulletin, which includes 11 bulletins, six of which are deemed "critical" by Microsoft, while five are deemed "important." One bulletin, suggested in the advance notice posted Thursday, failed to be released Tuesday. A majority of the "critical" patches affect Microsoft Office, two critical patches include users of Office for Mac 2004, one affects Visual Basic 6.
The "important" patches are mostly Internet services-related. One patch is specific to the Windows Vista update, however, all the Windows Vista-related updates will be included with Windows Vista … Read more
Yes, I know Yahoo rejected Microsoft's bid of $31 per share. But that's just standard negotiating strategy in the world of mergers and acquisitions.
Sure, Microsoft's offer - a 60% premium over the price of Yahoo's stock at the time - was designed, not only to get Yahoo's board's attention, but to back them into a corner. If no other suitors emerge - as I predicted in a prior post - it's an offer Yahoo's board can't refuse without risking shareholder litigation or revolt.
But that doesn't mean Microsoft didn't leave itself any wiggle room, and Yahoo's board knows that. They also know that this is Microsoft's big chance, perhaps its only chance, to jump to number 2 in internet search and advertising and challenge Google. That means Yahoo has some negotiating power.… Read more