Microsoft Responds to Yahoo!’s Rejection
Didn’t take long for Microsoft to respond to Yahoo!’s rejection:
It is unfortunate that Yahoo! has not embraced our full and fair proposal to combine our companies. Based on conversations with stakeholders of both companies, we are confident that moving forward promptly to consummate a transaction is in the best interests of all parties.
No, it’s not. It’s in Microsoft’s best interests; not Yahoo!’s. If Yahoo! was a lot like Microsoft, I could see it being a fair proposal…but it’s not.
We are offering shareholders superior value and the opportunity to participate in the upside of the combined company. The combination also offers an increasingly exciting set of solutions for consumers, publishers and advertisers while becoming better positioned to compete in the online services market.
So…it’s all about the shareholders. Umm…what about the consumer? Ever thought about asking them how they feel about it? You assume that the consumer is going to be as increasingly excited as you are. You’re damn straight they will…especially after you pull the rug out from under them!
A Microsoft-Yahoo! combination will create a more effective company that would provide greater value and service to our customers. Furthermore, the combination will create a more competitive marketplace by establishing a compelling number two competitor for Internet search and online advertising.
Again, more effective and greater value to Microsoft; not Yahoo! Sure, a Microsoft-Yahoo!-Taco Bueno combo Chilada platter will most certainly put Microsoft instantly into the number two spot for search and advertising. However, the notion that this will create more competition is a highly flawed point of view because it will do nothing of the sort. Just because you own a jigsaw doesn’t mean you’re a good carpenter and are able to make a bitchin’ chair.
The Yahoo! response does not change our belief in the strategic and financial merits of our proposal. As we have said previously, Microsoft reserves the right to pursue all necessary steps to ensure that Yahoo!’s shareholders are provided with the opportunity to realize the value inherent in our proposal.
What merits? Does the strategic merits include giving Zimbra a drop-kick into the gutter? And does the financial merits include trying to buy your way out instead of simply being innovative and creating something truly different for a change? Microsoft certainly can reserve the right…but that doesn’t mean that they are right.
Yahoo!’s CEO made it pretty clear that he believes that Microsoft’s proposal substantially undervalues Yahoo! on a whole. Microsoft clearly doesn’t get it. They just don’t see the writing on the wall. Can they not see how different Microsoft and Yahoo! really are? Can they not understand that such a merger is not good for either company? What are they doing over there? Writing proposals with Crayons?
Tags: yahoo
