The take-away from his speech, according to a Reuters report: Microsoft never viewed its proposed acquisition of Yahoo as strategic.
Here are Ballmer’s exact words, per Reuters:
In other words, Redmond was prepared to pay tens of billions of dollars for a non-strategic acquisition? An acquisition that would, by far, be the largest in its history? Very interesting comments, indeed.
“Yahoo was never the strategy we were pursuing, it was a way to accelerate our online advertising business,” he said. “We will spend money on some acquisitions. You can do a whole lot of things with 50 billion dollars.”
Microsoft Chief Executive Steve Ballmer made a few revealing comments Friday while speaking at a technology conference in Moscow.
Rounding a Yahoo acquisition up to $50 billion would have put it in the high $34-a-share range. Yahoo, though, was looking for something more along the lines of $37.
Yahoo may find it interesting that Ballmer rounded up his multibillion figure. When Microsoft walked away from the negotiating table on May 3, it was offering $33 per Yahoo share–making that offer worth about $47.5 billion.
The two companies have since re-entered talks, but not for a whole-hog takeover. Instead, Microsoft is now looking at acquiring certain Yahoo assets, including its search business.