WebProNews

Yahoo! Sale to Microsoft = NO
Yahoo! Google Search Partner = NO
Yahoo! Competent Management = NO
Yahoo! well positioned for success = YES

Jerry Yang and the current team do need to be replaced, the Google deal is an example of why. Currently Yahoo lacks competent management. Jerry Yang did not provide the needed leadership and has made Yahoo look like a ship drifting aimlessly in a storm. No to Microsoft was the right answer, but after the “NO” he allowed confusion and doubt set in and did not provide direction.

Currently we are in an unprecedented historical media revolution as TV and Internet combine and Yahoo is in a prime position to take advantage of that but needs the right visionary leadership to provide direction. Google has mistakenly already placed its bet on user generated content and the YouTube business model. Surly YouTube is neither the prime video media business model of the future nor the best market position to have in the on going media revolution. The market remains wide open for now and Yahoo could play a major roll in the future. 

The search game is not over, no one would agree that Google’s search is the best search can be - everyone knows the current state of search technology is lacking. Currently Yahoo maybe behind Google in this area but has the resources to compete rather than giving up before the race is over.

With the right management Yahoo shares could become as valuable as Microsoft or Google but at a minimum archive a valuation many times the current low but it requires confident visionary leadership with a plan and meaningful execution.

Microsoft could see a weakness and attempted to exploit it and Google, an opportunist attempted to do about the same. Yahoo management should never have aloud these things escalate and as a consequence have not been focused on Yahoo’s core business and have not been focused on building business and share holder value; they have no meaningful business plan.

Microsoft would shred Yahoo into bits, and take the prime parts to become part of Microsoft we all know too well; this is in essence the death of Yahoo. Google likewise would be delighted to rip out Yahoos heart and leave the corpse.

Currently Yahoo management now looks like clueless children trying to play hardball with the big kids but they fell down and got hurt. Icahn maybe a better option; although he may lack foresight about what Yahoo could be; at least he knows how to play hard ball with the big kids. Selling of to Microsoft is a mistake.