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Who’s Bluffing? Microsoft or Yahoo?



The weekend deadline for Yahoo to accept Microsoft’s buyout offer has passed, with no new news.

Now AP is speculating whether Microsoft is bluffing about its talk of abandoning its bid or if the software company might actually walk away from the deal.

The public remarks of Ballmer and Liddell could be just part of a negotiating ploy aimed at pressuring Yahoo to the negotiating table.

But some analysts think Microsoft would be smart to walk away now.

By turning a cold shoulder, Microsoft could position itself to return with another bid this summer in hopes of completing the acquisition without suffering through the disruption and rancor likely to erupt if Microsoft were to try to oust Yahoo’s board in a risky process known as a proxy contest.

I’m not a poker fan, but I’ve watched enough Texas Hold ‘Em to know we’re watching to pro’s trying hard not to give away their “tell” prior to the river card.

And for fans of “The Young & the Profitless

Sitting in a smoke-filled room, Brad examines his hand one last time. Should he up the ante or should he fold. Across the room, Stacey hangs-off the arm of Grant. Does Grant have the winning hand? Is Stacey secretly hoping Brad will win the pot? Stay tuned…

  • http://www.greatpriceshere.com Nicole

    No. I do not think that we have seen the end of this drama. This has been act II. There is plenty more to come. Mark my words.

    Nicole’s last blog post..The Best ‘Money’ Songs Ever

  • http://www.newhomessection.com Jayson

    I’d guess that Yahoo is bluffing. They need Microsoft more than Microsoft needs them, IMO.

    Microsoft is a search engine on the side and has plenty of revenue from software products. It’s not like Yahoo is a great search engine with great traffic…they do have a very strong brand though.

  • http://www.gadgets4nowt.co.uk PS3

    Don’t they say in Texas Holdem that the person to bet first usually scoops the pot? Who was that in this case?