Eyes on Google, Microsoft Bids $44 Billion for Yahoo
By MIGUEL HELFT and ANDREW ROSS SORKIN
Published: February 2, 2008
If consummated, the deal would instantly redraw the competitive landscape on the Internet and escalate the battle between Microsoft and Google.
Mr. Ballmer met several times in late 2006 and early 2007 with Terry S. Semel, then Yahoo’s chief executive, people involved in the talks said. After a series of secret meetings between the sides in hotels around California and elsewhere, Yahoo’s board decided against progressing with the talks, betting that its stock would turn around, these people said. Mr. Yang, in particular, was adamantly against selling the company, they said.I have to admit. I don't trust Microsoft. I'm rooting for yahoo.
Mr. Ballmer constantly consulted with Bill Gates, Microsoft’s chairman. Then this week teams of bankers and lawyers holed up in two low-slung podlike buildings on Microsoft’s campus plotted how much to bid. After Yahoo reported weaker-than-expected earnings on Tuesday and its stock fell, Microsoft, which had been considering a bid in the mid-$30 range, settled on $31 a share. “A year has gone by, and the competitive situation has not improved,” Mr. Ballmer wrote in Thursday’s letter to the Yahoo board. Yahoo said Friday that its board would evaluate Microsoft’s bid “carefully and promptly in the context of Yahoo’s strategic plans.”