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Comment: Ya-Who will buy Yahoo?

It must feel bitter cold inside Yahoo's board as the once mighty internet giant, who was the Facebook of its age, fired its CEO a few days ago and has put a big, bold "for sale" sign outside its virtual front door according to the Wall Street Journal.

The company once infamously kept Microsoft at bay by refusing a $44 billion acquisition, nearly three times its current market capitalisation with the share price reaching its lowest for a year at $11.09 on the 9th of August.

Somehow, Yahoo was convinced that it was worth more than that and somehow, a company that was once synonymous with the internet itself managed to lose its focus and shoot itself in the foot by taking the wrong decisions at the wrong time - like getting rid of Delicious, Buzz and Geocities.

That said, Yahoo is a still a formidable force to be reckoned with, a giant with one knee on the ground - but a giant nonetheless. The latest figures for the US search market shows that Yahoo is still second to Google (albeit a distant one) and the fourth largest online property behind Facebook, Youtube and Google.

As to who could buy Yahoo, the fact that the site is still worth a lot of money means that only someone with very deep pockets could get things moving. Microsoft or Facebook could wait for the share price of Yahoo to drop a bit more before buying it and merging it with MSN, but our money is on a yet-to-be-named outsider stepping in.

Désiré Athow
Contributor

Désiré has been musing and writing about technology during a career spanning four decades. He dabbled in website building and web hosting when DHTML and frames were en vogue and started writing about the impact of technology on society just before the start of the Y2K hysteria at the turn of the last millennium. Following an eight-year stint at ITProPortal.com where he discovered the joys of global tech-fests, Désiré now heads up TechRadar Pro. Previously he was a freelance technology journalist at Incisive Media, Breakthrough Publishing and Vnunet, and Business Magazine. He also launched and hosted the first Tech Radio Show on Radio Plus.