Microsoft’s Yahoo to Compete with Google

Microsoft's Yahoo to Compete with Google Clapway

Get used to seeing “Microsoft’s Yahoo” a lot more often. The failing, “search engine, wannabe social media and news” platform just may be saved by the Windows creator. Together, the two might have enough power to compete with the almighty Google.


Don’t worry, you have not slipped into a time void back to the year 2008. Microsoft is (again) rumored to acquire the failing Yahoo. It’s strange to think this exact thing happened back in 2008 and somehow, Yahoo stayed afloat. Back then Microsoft offered up a powerful $45 billion for the company. At the time, both were getting demolished by Google, so the two thought with their powers combined, they could take them down. Well, it seems like not much has changed recently as the same situation is going down yet again.


Yahoo is probably regretting that decision years ago for $45 billion. The company is down $16 billion in worth now after rejecting Microsoft not once, but twice. You don’t need to be an expert to say that they should have taken the offer, but even the experts from S&P 500 agree. The latest offer from Microsoft is $6 Billion to $8 Billion, though of course, Yahoo is demanding a last ditch effort of $10 billion. It seems that what Microsoft is really after is their Alibaba stake. This stake is worth close to $24 billion now and only estimated to grow as Alibaba becomes a more dominant force in the market. With these new acquisitions, will this joint effort have any effect on Google?


The challenge from competitors in the tech industry isn’t the only one’s Google has to worry about. It seems Uncle Sam wants a piece of the action too He just might get it. Due to closed tax loopholes in 2015, Google, among many others, may just see their profits shrink. The Organisation of Economic Co-operation and Development (OECD) have warned a number of U.S companies about closing several international tax loopholes. For example, loopholes like shifting profits from one low tax rate country like Ireland to Bermuda, where the company won’t have to pay any taxes at all. This was all possible due to the term “residence”. It has a different meaning in U.S and Iris tax law, but the OECD has caught on. Now it seems a bit clearer why the Cupertino company is abandoning some of their moonshot ideas lately.