Thursday, March 13, 2008

Changing face of the Internet!

Finally after months of speculations and appeals, Google bid to merge with Doubleclick came through on Tuesday sending Google prices soaring with a rise of $13.68 to close at $427.30.
http://www.nytimes.com/2008/03/11/technology/11cnd-google.html?em&ex=1205467200&en=03e8d1f1d0134c93&ei=5087%0A (Free sign-up required)

Not only does this reinforce Googles dominance in Internet advertising, it definitely comes as a big setback to Microsoft and Yahoo that have been opposing this deal from the start. Microsoft was opposing the deal and putting pressure on the Federal Trade Commission regulators to not approve the deal. The fear being that this would give Google too much of a pricing power for online advertising.

However, what will be interesting now is Microsoft's reaction to this. Will they push for Yahoo even more in order to strengthen their position on the net (Yahoo has stronger online advertising position)? Or will this put an end to the Microsoft-Yahoo bid since even the combined effect will not surpass Google-Doubleclick dominance on the Internet? And even more so, will Google-Doubleclick merger succeed?
Watch this space for more details :)

1 comment:

R said...

when do we read about all other days? :)