Top
280°

Microsoft Hints at Fight, Yahoo Lays Off Workers

"Hours after Yahoo officially rejected Microsoft's takeover offer on Monday, calling it too low, Microsoft described Yahoo's response as "unfortunate" and said its own proposal was "full and fair."

Microsoft's statement suggests that, at least for now, the company is not willing to raise its price. Microsoft also indicated anew that it was ready for a fight, repeating earlier statements that it might consider "all necessary steps" to ensure the deal is completed.

Experts said Microsoft could ratchet up pressure on Yahoo's board by taking its offer directly to shareholders and waging a proxy fight to oust Yahoo's directors; it has until March 13 to nominate a new slate of directors."

"Microsoft suggested that Yahoo shareholders it had polled viewed the deal favorably. "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," Microsoft said. Many Yahoo shareholders are also Microsoft shareholders and might not necessarily favor a higher offer.

In a letter to employees explaining the company's position on Monday, Jerry Yang, Yahoo's chief executive, said they deserved credit for Yahoo's success.

But some Yahoo employees will soon find out that their work is no longer needed. The company said last month that it would lay off about 1,000 employees by mid-February, though some would be allowed to apply for other jobs in the company. A person close to Yahoo said the layoffs could be announced as early as Tuesday."

The story is too old to be commented.
Bull5hifT3366d ago

i hope i get wind of the matter when it does happen so i can delete all of my emails and account, i dont want micro$oft fishing for ways to rip me off in the future or info on other accounts, i got like 3000 unread mail

1600 read, 500 important

Zhuk_3366d ago

Microsoft has the leadership and resources to drive forth quality service. It is in the best interest of Yahoo and its users to allow Microsoft to take them under their wing. This would truly benefit consumers and its shareholders.

SEAN16173366d ago (Edited 3366d ago )

Thats why yahoo stock actually rose when they rejected MS's bid today?, or the fact, That this is yet another attempt by M$ to bully their way into a field and try to create another monopoly by unfair business practices. All i have to say is that M$ by no Means has any consumer's interests in mind, just their own corporate survival.

Erethond3365d ago

Yahoo stock rose because stockholders feel that Yahoo is bluffing Microsoft. Yahoo feels it is worth more than Microsoft's initial offer. This kind of thing happens all the time. It just means its time to play hardball.

Zhuk3366d ago (Edited 3366d ago )

The only reason Yahoo rejected Microsoft's initial offer because it is standard practice for corporations subject to a takeover to do so. Both Yahoo and Microsoft know this and mark my words that Yahoo will end up being a proud member of the Microsoft team. Microsoft will come back with a revised offer, then possibly another few before the Yahoo board and shareholders finally give the go ahead.

Yahoo is excited to join the Microsoft team and provide a true alternative to Google. I for one am highly satisfied with Windows LIVE search, but after this deal goes through I might start using Yahoo again, a search engine I have not touched since the 90s

Statix3366d ago (Edited 3366d ago )

And why would I, the consumer, WANT an alternative to Google? Least of all, one that is owned and operated by the dangerously predatorial and monopolistic Microsoft?

3366d ago
SEAN16173366d ago

Google is a benevolently company that i will support

Show all comments (12)