The war over who will be Internet King has another battle brewing, and it’s going to make technology-related exchange traded funds (ETFs) something to keep an eye on.
Yahoo (YHOO) has been slumping, and Microsoft (MSFT) has swooped in with an unsolicited takeover offer of $44.6 billion, reports Michael Liedtke for the Associated Press. It’s Microsoft’s boldest move so far to challenge Google (GOOG), which has so far been the leader in the online search engine and advertising markets. They control 60% of the U.S. search market and its lead is widening.
After the news came out, Yahoo’s shares shot up 49% in morning trading.
Yahoo, for its part, has said it will "carefully and promptly" study the offer. Its stock dropped to a four-year low earlier this week, and a new management team has been working hard to turn things around.