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Microsoft, Yahoo! acquisition may help Xbox business

The New York Post once again set the industry ablaze, reporting last week that Microsoft is still debating a potential acquisition of Yahoo!, a deal that some analysts believe will help the Xbox business. In May of last year, Peter Lauria and Zachary Kuowe of the Post reported that "Microsoft has intensified its pursuit of a deal with Yahoo!, asking the company to re-enter formal negotiations."

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gamesblow3391d ago

I use Yahoo alot and if this happens I'll stop. I don't use Microsoft anything. Not even their garbage ass O.S. I refuse to support a monopoly driven company and as much as I admire Bill Gates, I simply cannot back his former company. Sorry.

WilliamRLBaker3391d ago

the problem here is microsoft is so ingrained into the computer world I bet their isn't a single thing you use that isn't either microsoft branded or uses microsoft owned code.
lol

Method3391d ago

Yeah they do, but gamesblow has no friends so MSN is irrelevant.

actas1233391d ago

The FCC might not allow that..

n_n3391d ago

but anyway, how is this suppose to help xbox?

Blackfrican3391d ago

LOOL at microsoft who thinks the world is for sale. sorry noobs but i will change my email [email protected] to [email protected] so that microsoft can not shut off my access like they always do to live. Taking yahoo off my PS3 browser also if they do this so they will probably not do this.

OOG FunK3391d ago

yo i dont know if your retarded or not but guess what MS owns hotmail fool

Bzone243391d ago

Guess you won't be frequenting this site anymore? If you look at the filenames on this site you will see .aspx I'm pretty sure Microsoft has something to do with that file extension.

+ Show (5) more repliesLast reply 3391d ago
Xbox is the BEST3391d ago

"With the estimated price tag of the acquisition at $50 billion"
Same amount that they offered Google

CeruleanSky3391d ago

The article states 50 billion for the acquisition. The last time the Yahoo rumors circulated I believe it was 80 billion. Whatever the actual figure and regardless if the acquisition actually happens this time it is a huge chunk of money.

And this is just to try to compete with Google in the booming add market. Microsoft is also trying to compete in the corporate search market and the app rental market. All these markets potentially require similar large acquisitions. Regardless of what fantasies people have about Microsoft having infinite amounts of cash to throw at the console market for an unlimited amount of time, Microsoft is a company that has to operate in the real world.

Microsoft's stock has been effectively stagnant for the past six to seven years. Right now the company is faced with trying to grow the stock price while branching out into new markets to accomplish that requiring tens of billions of dollars.

Massive price cuts on hardware, tens to hundreds of millions on buying game developers, tens of millions to buy large numbers of exclusive big name franchises just isn't going to happen. The console market isn't remotely important enough relative to the other giant markets Microsoft wants to compete in regardless of pie in the sky talk of desires of 'owning the livingroom'.

IntelligentAj3391d ago

Yeah their stock hasn't risen much but look at their earnings(which despite the naysayers is still growing despite the competition). They just bought one of leading companies in corporate search(Fast Search and Transfer) which would probably make them the market leader. Once again take a look at their revenue and earnings for the past year and tell me if those numbers look like a company that is struggling in any way.

BLaZiN PRopHeT3391d ago

actually your wrong just last quarter their stock saw a sharp increase. it was the highest its been in years thanks to Vista and they are expecting an even better quarter this time around. i mean they said it when they reported last quarters earnings.

Relcom3391d ago

BUT Microsoft REALLY REALLY likes Monopoly.....

Get it?

IntelligentAj3391d ago (Edited 3391d ago )

Well the market cap for Yahoo is only $32 billion. That being said the FCC won't allow this buyout. I'm pretty sure they'll find some reason to stop this from happening, although they did let Google buy Doubleclick so anything is possible.

Edit: Why the disagree? At least explain your opinion. And I lost a damn bubble for what?

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