Friday, February 01, 2008

Game On!

Super Bowl? Super Tuesday? No, in my opinion, the biggest clash that is well and truly engaged today is Google vs. a team of Microsofties and Yahoos.

Microsoft's press release contains a copy of the letter from Steve Ballmer to Yahoo's board. The letter contains this very interesting bit of news:

In February 2007, I received a letter from your Chairman indicating the view of the Yahoo! Board that “now is not the right time from the perspective of our shareholders to enter into discussions regarding an acquisition transaction.” According to that letter, the principal reason for this view was the Yahoo! Board’s confidence in the “potential upside” if management successfully executed on a reformulated strategy based on certain operational initiatives, such as Project Panama, and a significant organizational realignment. A year has gone by, and the competitive situation has not improved.

We are in for a very interesting year as this proposed merger moves ahead, and a very interesting battle of the titans if the Microsofties and Yahoos are allowed to combine forces.