Bill and the team at Microsoft must be asking themselves, what will it cost to dominate Google? Their strategy to take over Yahoo! in order to rival Google may be flawed, but it is a strong move nonetheless.
According to various news organizations on the Internet, it was reported today that Yahoo! had rejected Microsoft’s original bid of approximately $31/share which was made last week. According to a BBC article, there are rumors that Yahoo! would be unlikely to accept anything less than $40/share, a 109% premium of what Yahoo! stock was trading for the day before the offer was made.
We will see where this all leads – This is like buying a house, I’m sure Microsoft will counter and Yahoo! will reconsider, if the government does not step in, we may see a deal firmed up in the next 4 to 6 weeks (that is a total guess – but how long can these things take, really?)