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Yahoo's Search for Salvation

Yahoo's Search for Salvation Nine months after Yahoo first rejected a takeover bid from Microsoft, the Sunnyvale, Calif., Web search and advertising concern still is looking for a deal to solve its troubles.

OK, perhaps that should be rephrased: everyone else seems to be looking for a deal to solve Yahoo's troubles. And with third-quarter earnings on the way and the stock price trading in 2003 territory, Yahoo faces the prospect of another earnings conference call packed with dissatisfied analysts and investors.

Meanwhile, Yahoo's proposed ad partnership with Google has been put on hold as antitrust regulators take a closer look, and Yahoo's lucrative stakes in two Asian Internet companies have fallen $2.1 billion, or 22%, in value since July.

It is natural, then, that people are looking for a savior. blogger Kara Swisher expressed exasperation Monday that AOL and Yahoo still haven't struck a deal. She reported that AOL and Yahoo were thinking of merging AOL's content, advertising and software assets -- everything but the Internet access business. The Web site Valleywag followed with heated news of a sighting of Yahoo CEO Jerry Yang in New York, where he presumably could be talking with AOL's Jeff Bewkes.

But what about Microsoft? American Technology Research analyst Rob Sanderson has raised the specter of the software giant taking another run at Yahoo. Mr. Sanderson cut his earnings estimates for Yahoo Tuesday and wrote, "as YHOO shares decline and MSFT struggles in its online services business (OSB), it is increasingly likely MSFT will make a new offer."

He told investors to buy Yahoo only if they believe Microsoft might re-enter the fray.

In January, Microsoft offered a cash-and-stock deal initially valued at $44.6 billion, or $31 a share, for Yahoo and later whispered it would be willing to up that to $33 a share when Yahoo was asking for $37 a share. The initial offer was a 62% premium to where Yahoo shares were before the bid was announced.

At Tuesday's close of $13.76, the same premium would yield a bid of just $22.29 a share, or roughly $31 billion.

Learn more about Search Engine Optimization, the most effective form of online advertising.

Search Engine Marketing is the fastest growing advertising medium in the world, projected to become 10x more powerful and influential than traditional media outlets such as: network television, cable television, local television, network radio, local radio, satellite radio, national newspapers, local newspapers, magazines, billboards, direct mail, telemarketing and more.

Discover the most powerful and effective form of advertising, Search Engine Optimization.

An aside for consideration are the segments of Search Engine Optimization. Clarification is required in terms of paid search marketing, sponsored search advertising, pay per click, email marketing (spam), and the foundation of strategic internet marketing: Organic Search Engine Optimization - Organic SEO in some circles also referred to as Natural Search Engine Optimization - Natural SEO.

Key Organic Search Engine Optimization Facts:

  • Keyword search is the 2nd most popular online activity, rapidly approaching the popularity of email retrieval.
  • 90% of all new website visitors are delivered by a major search engine and/or directory.
  • 98% of all keyword search activity results are powered by the big 4 search engines: Google, Yahoo, MSN and AOL.
  • Keyword search results on Google, Yahoo, MSN and AOL are all determined by a search engine spider and/or robot crawler.
  • Recent internet marketing studies confirm that keyword searchers prefer the organic results at a 6 to 1 ratio vs. pay-per-click sponsored search advertising listings. 

Is your corporate website being found early and often on the keywords and keyword phrases that best describe your products, services and industry?

Harness the power that our proven organic search engine optimization technologies can provide...
Contact the Peak Positions Organic SEO consulting specialists today.

Learn more about our client roster, one of the strongest in the SEO industry, and more importantly discover why our client-focused Organic Search Engine Optimization company maintains the highest client retention rate in the SEO industry. 

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