Internet

Will YouTube or Facebook be first to make money?

15 Aug 2008

Online video and social networking have both enjoyed huge growth and attracted top talent. But neither of their leading lights can seem to monetise hordes of users. Even so, in the race to wring dollars from Web 2.0, YouTube looks likely to win.

AOL-Time Warner: the best deal ever

12 Aug 2008

Sure, the 2000 merger zapped hundreds of billions of dollars of value. But John Malone s plan to swap his $1.6bn stake in Time Warner for AOL s dialup business begs a rethinking of the past. It s now clear former AOL boss Steve Case gave his shareholders the steal of a lifetime.

Are the Olympics online video’s coming-out party?

7 Aug 2008

The Games are set to be China s latest and greatest performance on the world stage. But they may be just as momentous for online video. Heaps of content will be on hand for internet users around the globe. All those eyeballs could finally show online video s real power.

Comcast splurges again on web candy

6 Aug 2008

The cable operator keeps shelling out on websites that don t appear to have much to do with its core business. It s paying $125m for Daily Candy, a womenoriented site. It will take more than a shopping spree for Comcast to show shareholders the merits of its content makeover.

How did Yahoo’s proxy vote go pear shaped?

6 Aug 2008

Shareholders were understandably miffed by the company s miscounted proxy vote. Yahoo bears some blame the gaffe makes its board look even more aloof. But the complicated proxy system itself is fraught with risk and prone to error.

Microsoft less likely to get Yahoo on the cheap

21 Jul 2008

By giving Carl Icahn three of 11 board seats the internet group avoids an unsettling proxy fight while increasing the pressure on its executives to perform. With only three votes, Icahn will struggle to flip Yahoo for a song.

Microsoft could learn from Inbev’s recipe

16 Jul 2008

By snapping up resistant AnheuserBusch in short order, Inbev offered a tutorial on buying companies that don't want to sell. Seeing how Microsoft has handled its sloppy dance with Yahoo, it's clear the software giant could benefit from a lesson.

Yahoo Microsoft deal draws closer

14 Jul 2008

This may not be obvious from Yahoo's latest bid rejection. Yet the suitor keeps coming back, improving its offer, and Yahoo says it will sell if the price is right. The strained relationship between the two managements is the biggest impediment but this hurdle is surmountable.

Blogs find buyers through diversification

11 Jul 2008

Guardian Media Group snapped up mediacentric blog Paidcontent for over $30m. That s a lot for eyeballs. But smart blog entrepreneurs have discovered how to attract buyers to their hardtovalue business model: Do more than just provide content.

Microsoft urges overthrow of Yahoo board

7 Jul 2008

The gloves have definitively come off in the battle for the internet group s future. By publicly stating it s ready to engage a new Yahoo board in a takeover, Microsoft has given Yahoo shareholders no choice but to vote for Icahn s slate of directors.

Venture capital needs less capital

3 Jul 2008

VC firms are stuffed with cash they can't put to work. The IPO market is the worst since 1978 and venturebacked M&A is down over 40% from last year. The flailing economy isn t solely to blame. It's time to return money to investors.

Nokia’s Symbian purchase swats Microsoft and Google

24 Jun 2008

The Finnish mobile giant will take control of the biggest smart phone software maker and offer its programs for free on an open source basis. This could make it harder for rival software groups to carve out a profitable niche in mobile.

Facebook’s taking a page from YouTube

23 Jun 2008

The social network has passed MySpace in global users and is rapidly expanding into new markets like China. Its growth strategy seems reminiscent of preGoogle YouTube build market dominance before building profit. But it seems to lack a similar endgame.

Founders need to know when to go

20 Jun 2008

Everyone has to go eventually. Monoliths like Microsoft afford their founders the stability for leisurely handovers. Smaller, fragile companies lack this luxury. Yahoo s implosion shows what can happen when a transition is mishandled.

LinkedIn gets social networking’s first fair valuation

18 Jun 2008

The Facebook for professionals raised cash from Bain and others at a valuation of $1bn. This looks almost dowdy by social networking s lofty expectations. LinkedIn has better growth and wealthier users than its bigger brethren. The Web 2.0 brigade is maturing.

Frustrating merger tactics can sting shareholders

13 Jun 2008

Yahoo inked a search deal with Google last night that acts as a poison pill for Microsoft. Bud looks like it s planning a similar tactic to ward off Inbev by acquiring Mexico's Modelo. Neither offers a better alternative for shareholders who should resist them.

Icahn’s dissident slate deserves chance at Yahoo

12 Jun 2008

The internet company's board needs a shakeup. Yet a clean sweep by the dissidents would trigger a poison pill pay plan. Electing four of Icahn's choices would avoid this, yet pressure management. It might also be the best way to fetch a good price from Microsoft.

Tencent could be next Chinese internet star

10 Jun 2008

The Chinese portal and instant messaging provider is entering the Hong Kong Hang Seng index. It has five times the operating profits of current darling Baidu and good growth prospects. At 47 times current earnings, it s not cheap, but a huge user base makes it hard to ignore.

Why was Yahoo dead set on $37 a share?

3 Jun 2008

A judge, by unsealing documents from a lawsuit, may have revealed one reason. Yahoo issued hordes of stock options to directors in 2005. The exercise price: $36.75. Even ignoring the financial incentive, that might have set a floor in directors' minds.

Microsoft goes after Google with cash

21 May 2008

Under its new ad system, advertisers only pay when a sale is made. And customers get a cashback incentive for using Microsoft search to shop. This is a compelling offer but it s hard to see how it can mint Googlelike riches for shareholders.