With its three-month pursuit of Yahoo at an end, Microsoft is back where it started: far behind Google, the undisputed online-advertising leader. For years, Microsoft has been striving for a bigger share of the billions of advertising dollars migrating online. Buying Yahoo would have gone a long way to make that happen, the company reasoned. Now, after the companies could not agree on a purchase price, Microsoft has to chart a different course. Chief executive Steve Ballmer, in an e-mail to employees said Although the acquisition of Yahoo would have accelerated our ability to deliver on our strategy in advertising and online services, I remain confident that we can achieve our goals without Yahoo. But some analysts were not convinced. They need to say something thats credible, says Charlie Bona of the New York-based investment research firm Sanford C Bernstein. Others see Googles lead in Internet-search advertising as insurmountable, despite the billions of dollars and years of effort Microsoft has poured into its own search engine.
We are a voice to you; you have been a support to us. Together we build journalism that is independent, credible and fearless. You can further help us by making a donation. This will mean a lot for our ability to bring you news, perspectives and analysis from the ground so that we can make change together.
Comments are moderated and will be published only after the site moderator’s approval. Please use a genuine email ID and provide your name. Selected comments may also be used in the ‘Letters’ section of the Down To Earth print edition.