Author's Opinion

The views in this column are those of the author and do not necessarily reflect the views of iTWire.

Have your say and comment below.

Thursday, 24 November 2011 13:40

Jack Ma: buy Alibaba out of Yahoo! as fast as you can


With the rumours swirling of a Microsoft-led takeover of Yahoo!, my advice to Alibaba's Jack Ma is to buy your company out of Yahoo! as fast as possible.

A long time ago, Microsoft offered a ridiculous amount of money ($US47B) to buy Yahoo!.  Jerry Yang turned them down.  Not long after, Yahoo! shareholder criticism led Yang to resign as CEO.

Reports today suggest that Microsoft is putting together a consortium to make another pitch for Yahoo!  It would be safe to assume the valuation will be MUCH lower.

The Age article stated, "Microsoft has reason to protect its relationship with Yahoo! by not letting it fall into the hands of a potential competitor, according to analysts."

At the moment, Yahoo!'s most valuable asset is its 43% stake in Alibaba, the Chinese online commerce marketplace.  It would be very obvious that Microsoft would spin off this holding as soon as it completed any acquisition in order to recoup as much of its investment as quickly as possible (a profit would be nice!).

When the ousting of ex-CEO Carol Bartz was announced iTWire suggested at the time that there was merit in a 'reverse takeover' by Alibaba to swallow up Yahoo!.

I am less sure of the merits of this.  Yahoo! continues to be a sinking ship with little to attract new eyes.

Instead, I would offer some free advice to Jack Ma, Alibaba's CEO.  Find out how much Yahoo! wants for it's holding in your company and pay it.  Immediately.  Don't become a bargaining chip in the ongoing buy-out battle. 

In addition, you will probably be able to get a better price from Yahoo! who urgently need a war-chest to fend off the gathering sharks than you would from a subsequent Microsoft who would be happy to take their time to get the best deal.


WEBINAR event: IT Alerting Best Practices 27 MAY 2PM AEST

LogicMonitor, the cloud-based IT infrastructure monitoring and intelligence platform, is hosting an online event at 2PM on May 27th aimed at educating IT administrators, managers and leaders about IT and network alerts.

This free webinar will share best practices for setting network alerts, negating alert fatigue, optimising an alerting strategy and proactive monitoring.

The event will start at 2pm AEST. Topics will include:

- Setting alert routing and thresholds

- Avoiding alert and email overload

- Learning from missed alerts

- Managing downtime effectively

The webinar will run for approximately one hour. Recordings will be made available to anyone who registers but cannot make the live event.



Security requirements such as confidentiality, integrity and authentication have become mandatory in most industries.

Data encryption methods previously used only by military and intelligence services have become common practice in all data transfer networks across all platforms, in all industries where information is sensitive and vital (financial and government institutions, critical infrastructure, data centres, and service providers).

Get the full details on Layer-1 encryption solutions straight from PacketLight’s optical networks experts.

This white paper titled, “When 1% of the Light Equals 100% of the Information” is a must read for anyone within the fiber optics, cybersecurity or related industry sectors.

To access click Download here.


David Heath

David Heath has had a long and varied career in the IT industry having worked as a Pre-sales Network Engineer (remember Novell NetWare?), General Manager of IT&T for the TV Shopping Network, as a Technical manager in the Biometrics industry, and as a Technical Trainer and Instructional Designer in the industrial control sector. In all aspects, security has been a driving focus. Throughout his career, David has sought to inform and educate people and has done that through his writings and in more formal educational environments.



Recent Comments