Yahoo's Chinese partner concerned about Microsoft bid
Category Microsoft
From San Jose Business Journal: Yahoo's Chinese partner concerned about Microsoft bid
The Chinese Internet company part-owned by Yahoo Inc. is exploring becoming more independent if Microsoft Corp. succeeds in acquiring its U.S. partner, according to a report on Monday.
Alibaba Group is concerned about how the Chinese government will view a combination of Sunnyvale-based Yahoo and Microsoft, the Wall Street Journal reported citing an unnamed source.
The paper said Chinese regulators have already contacted Alibaba, which is 39 percent owned by Yahoo.
Yet another potentially valuable asset of Yahoo that will likely "not play well" with Microsoft should the acquisition actually happen.
Now, it could be said that Alibaba hasn't got much to say about the merger as they don't control that 39% of the company. But getting on China's doghouse list wouldn't be a good way to approach a huge potential market that everyone is trying to get a piece of. And who's to say that the Chinese government wouldn't either legally stop any merger activities on their own shores, or just flat-out buy out that 39%?
Either way, it's yet another piece of the $40 billion price tag that will either never return value or will be a one-time sale price and that's it.
Remind me again why this is a great idea for Microsoft?
From San Jose Business Journal: Yahoo's Chinese partner concerned about Microsoft bid
The Chinese Internet company part-owned by Yahoo Inc. is exploring becoming more independent if Microsoft Corp. succeeds in acquiring its U.S. partner, according to a report on Monday.
Alibaba Group is concerned about how the Chinese government will view a combination of Sunnyvale-based Yahoo and Microsoft, the Wall Street Journal reported citing an unnamed source.
The paper said Chinese regulators have already contacted Alibaba, which is 39 percent owned by Yahoo.
Yet another potentially valuable asset of Yahoo that will likely "not play well" with Microsoft should the acquisition actually happen.
Now, it could be said that Alibaba hasn't got much to say about the merger as they don't control that 39% of the company. But getting on China's doghouse list wouldn't be a good way to approach a huge potential market that everyone is trying to get a piece of. And who's to say that the Chinese government wouldn't either legally stop any merger activities on their own shores, or just flat-out buy out that 39%?
Either way, it's yet another piece of the $40 billion price tag that will either never return value or will be a one-time sale price and that's it.
Remind me again why this is a great idea for Microsoft?