The Giant Swallows Another

So the year is 2007 and well another year another dollar right?   Wrong this is going to be the year where microsoft takes over yahoo, yup you heard it right they are going to buy Yahoo straight out, either an all cash deal or a mixture of stock and cash which is more likely.

You may ask why?

Well the answer is advertising, the only company of the major 3 search engines that’s lacking a total advertising solution.

Yahoo bought overture, Google stole overture’s system and then improved it and Mr. Softy? they have nothing, and if they want a piece of the 42billion (2010 estimate) online advertising revenue then they need a system and they need one now.

Thus equaling my conclusion.

If you still don’t believe me which is ok, just take a look at the financials which supports my theory even further.

Here’s Microsoft’s financial statement

All you need to see if that the total market cap of Yahoo is just under $40 billion

and if you look at cash on hand of Microsoft they have $28 billion in cash.

hmmmmmmm i hoped i piqued your interest Shoemoney wrote a good article on why it should occur as well.

enjoy  =)

Here’s Yahoo’s financial statement

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