Rumors late last week had it that Microsoft and Yahoo might launch a merger in order to better take on the top dog of the Internet, Google. Wall Street and Silicon Valley chewed on that bone for the better part of the day Friday, but in the end there wasn't much there after all.
A number of tech and finance types offered words of caution along the way about the merger speculation. One in particular provided a welcome respite for those of us accustomed to hearing high-tech marketeers go on about "best of breed" solutions. Charles Moldow, a general partner at Foundation Capital and a former mergers and acquisitions banker at Merrill Lynch, said that combining the assets of Microsoft and Yahoo would be unlikely to create organic growth, summing it up this way:
"You don't get a pure breed by breeding two mutts," he said, "not that I'm calling MSN and Yahoo mutts."