Henry Blodget has an interesting analysis on Silicon Alley Insider of the motivations behind Microsoft‘s approach to buy Yahoo! He says that Microsoft have misunderstood the opportunity that cloud-computing offers and that a B2B company shouldn’t be trying to make money through ad-sales. He says:

Microsoft’s Misconception: “Cloud Computing” = Software Supported By Advertising

The problem is the way Microsoft has always framed the “cloud computing” transition: paid desktop software licenses giving way to free web-based software supported by advertising.

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