The great Google-Yahoo Divorce

Yes – its finally happened. Google-Yahoo Divorce…almost…and lawmakers made sure that they both don’t stay together.

Yahoo’s decision to go with Google in the first place was a wrong step. As anti-trust law readers would know it – sooner than later this deal would have faced the music from anti-trust laws worldwide and thats exactly what happened. Whatever said and done … google does face much more challenges going ahead so does Yahoo. Both these companies belong to “ONLY INTERNET” economies and they would need hard substance going forward and only internet ad revenues won’t suffice.

With recession round the corner and tumbling online advertisement rates as per recent survey…the future…atleast in short to mid term looks a bit gloomy for these companies.

Had Yahoo agreed to go with Microsoft (explained in my earlier post regarding MS-YAHOO) it would have been much easier for Yahoo and definitely created some problems for MS…but I feel MS had luck in its favour – which made Yahoo reject such a great deal and now are facing consequences…

What do you feel?

Leave a Reply