From the New York Post's:
it stands now, a deal between Microsoft and Yahoo! would up the combined companies' share of the all-important search advertising market to 27 percent against Google's 65 percent. It would also narrow the gap in overall online ads with Google to just 13 percent.
More importantly, a deal would create what one source described as "the dominant force on the Internet" in terms of eyeballs. That's an important consideration as more and more content flows online - as the equations goes, eyeballs equal advertising.
What do I think of this? The strengths of the two companies are complementary - but it is more than just how the services and strengths of two companies complementing each other's strengths and weaknesses that matter.
The financials of Yahoo would benefit much from an infusion of investments from a bigger, more stable company - but a buyout? A complete M&A? A little too difficult how such would pan out.
In Southeast Asia, Yahoo properties are quite a force to be reckoned with - but so are MSN Windows Live properties. The two are neck-on-neck when it comes to reaching and engaging audiences - and in fact, in entertaining audiences.
If such a merger happens, that would mean a very exciting ride for both companies. Even if it's just a partial ownership or buyout by Microsoft, it would still mean a lot - and will change the internet and digital communications landscape significantly.
