Friday, May 2, 2008
MicroHoo: Mail Monopoly Part of Yahoo’s Price Holdout
So why is Yahoo’s board holding out for a higher price than Microsoft wants to offer to raise it?
According to sources close to Yahoo, one of the more important reasons Yahoo wants a higher price has a lot to do with worries about the domination of the email and communications market if a merger with Microsoft took place and the threat of regulatory action that would force the companies to divest those assets.
Sources said that Yahoo wants a large cushion in case the government finds the combination of Yahoo Mail and Hotmail too much.




