I was reading an article last night on MSNBC about Microsoft reportedly boosting their offer for the acquisition of Yahoo.  I'm still in disbelief at how bad Microsoft wants to acquire this company.  The only possible explanation I can come up with is that they think they will be controlling 2/3 of the search world by having buying it up.  Think again M$.  Yahoo has an inferior search engine, and for that matter most of their other products are inferior as well.  The only thing Microsoft will actually accomplish is a decrease in the quality of their products.

If I was an advisor at Microsoft, I would recommend buying Yahoo and shutting down the entire operation.  Then the competition is gone and the world is rid of their sub-par product line.  Microsoft is reported to be in intense negotiations with Yahoo as the merger interactions have reached the three-month mark.  Microsoft has indicated that they are willing to increase their already high $31 per share offer by several dollars.  No word yet on the final offering.

It's good to note that the original $31 offer was valued at approximately $42 billion, and each $1 increase would boost that value by about $1.4 billion.  The Wall Street Journal continues to report that Microsoft executives are leaning towards a hostile takeover.  Doing so would involve bringing the offer directly to Yahoo shareholders and attempting to oust the Yahoo board in a proxy fight.  Sounds dirrty, sounds like Microsoft.  Maybe they could just steal the company's code and sell it as there own, circa an earlier Microsoft in the 80's.

Even though Yahoo has repeatedly stated that they are not against a deal with Microsoft at a higher price, they have also recently tried to strike a deal with AOL and tested a search advertising partnership with Google.  Google.  That's where it's at.  If M$ wants to rule the Internet, they need to fork out the cash and buy Google.  Of course, that will likely never happen as Microsoft has historically shown little interest in quality deliverables.