Microhooooooooooo.......

Global web search market shares:
Google 77%
Yahoo 16%
Microsoft 3.7%

Points for acquisition:
Expansion of R&D
Gain Operational efficiencies
Opportunity for Microsoft to build its online business (some hope for the loss making internet business with increased inventory)

Points against acquisition:
With slow down the ad revenues might get effected
Intention of Jerry Yang to turn around Yahoo which is coming along on expected lines
Microsoft has no history laying off employees after acquisitions. Will synergies emerge?
Clash of cultures

Possible effect on Aftek Infosys (has 49% stake in a german search firm Arexera), Infoedge & Northgate Tech