Abhinov's tech commentary: Beggars cant be choosers

Well, Yahoo is learning the hard way. Sometime in February this year, Microsoft had proposed a completed buyout of Yahoo. Yahoo had infamously rejected Microsoft’s magnanimous offer of $44.6 billion offer despite utmost efforts from Billionaire Investor Carl Ichan. Instead, they agreed to a search outsourcing deal with Google. US Department of Justice (DOJ) may seek to overthrow this deal on antitrust grounds. Yahoo! and Google have mutually agreed to delay implementation of the deal after the agency threatened action which could otherwise lead to a monopoly of the internet search market. Both sides are still debating a possible settlement. Microsoft had offered Yahoo about $33 a share. Yahoo’s share at the time was about $24.

Now Yahoo has sacked 1500 employees which is about 10% of its workforce as part of its cost cutting measures. Its shares are worth a paltry $12 now and shows no scope of resurgence. The current global economic turmoil isn't helping Yahoo’s cause either. While Yahoo! would have definitely been a huge financial and tactical burden for Microsoft, the executives at Yahoo shouldn’t have thought twice when Microsoft was at its doorstep. It should be clear to Yahoo’s management that the future looks bleak for Yahoo. Too bad it wasn’t evident to them months ago unlike everyone else.

Have a look at Yahoo’s timeline of doom.