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I Was Right - Yahoo Was Stupid
Thu, 20 Nov 2008 02:19:00 -0600
For those of you that follow such things, there was a hugely prescient blog post written here at TheWHIR in April. Here you can view the original post entitled, Why Yahoo Should Sell. Among the many other wise words included in this post were the following:
''The truth - though it hurts for Yahoo to hear it is this - they should immediately make a deal with Microsoft. If Yahoo is so certain that they are going to make a TON more money in the next three years, then they should make a deal that includes lots of Microsoft stock. That way, when the Yahoo piece of Microsoft outperforms, Microsoft stock will go up.''
So what was the deal that I was advocating at the time? Microsoft had offered to purchase Yahoo in a deal that was worth $38 billion (that's billion with a B). Yahoo turned the deal down. Then CEO, Jerry Yang, had said of the deal at the time, ''With the distraction of Microsoft's unsolicited proposal now behind us, we will be able to focus all of our energies on executing the most important transition in our history so that we can maximize our potential to the benefit of our shareholders, employees, partners and users.''
Okay Jerry. So what has transpired in the meantime? Yahoo's stock price has fallen to settle at a current company value of...drumroll please...$12.67 billion. So not listening to me has cost the company - wait, let me do the math: $38 billion - $13 billion = $25 billion. Wow - that was really stupid.
So now the financial cost has caught up with CEO, Jerry Yang - the man that most credit for the failed deal. Mr. Yang announced this week that he would step down as CEO of Yahoo. And so the man that popular investment television host Jim Cramer labeled a ''value wrecking ball'' will go. I contend that it's too late. Yahoo is essentially done. The value is gone. Microsoft has walked away - really.
This saga should act as a lesson for those of us fortunate enough to be working deals - of any size. Don't let the big buyer get away. You may never get another chance.
This content was written by Derek Vaughan exclusively for the Web Host Industry Review.
Noise Filter: McColo Taken Down (1)Wed, 19 Nov 2008 20:48:36 -0800
theWHIR.com posted a photo:
Alleged host to some of the most heinous online criminal activity, web hosting provider McColo went offline last week when its Internet providers dropped their service to it, reducing the global amount of spam by up to 75 percent according to some estimates.
SpamCop statistics for the past 31 days show a dramatic drop in spam following November 11.
This graph was used in the Web Host Industry Review's November 19, 2008 article "Noise Filter: McColo Taken Down."
www.thewhir.com/features/111908_Noise_Filter_McColo_Taken...
Hosting Solution To The Advanced UserMon, 26 May 2008 18:21:36 +0000
The average Joe using the internet today know little about scripting languages, web clients, servers, HTTP and other knowledge which the web has been built on. What might seem like basic know-how required in order to enjoy the World Wide Web.
Due to this reality the evolution of the internet has been adapted to ...]
My Hosting M and A Presentation RevealedTue, 05 Aug 2008 12:55:00 -0500
Having the enviable position of being scheduled on the last HostingCon day, last hour, last session and bumped up against the Bar-B-Q, - I was pleased with the turnout.
The following is a quick overview my presentation: “Flip that Hosting Company”.
I developed two fictional web-hosting companies. Each of which; Started the same year, have the same product lines, same revenues, often the same expense items and many other like items. In some respects, like twins separated at birth.
In a 15 slide presentation we reviewed: Ownership, Revenue/ Subscribers, Growth, P&L, EBITDA and Balance Sheet. Enough detail to provide a buyer with direction.
The goal was to find the dynamic, obvious and subtle differences between the companies that would add or detract the sales price, items that could help or hinder negotiations and motivational issues – all in the context of the buyer and seller. Tucked away were over 20 points and clues that could influence a possible transaction. Some were easy to find…
I thought that was enough to squeeze into 45 minutes. I touched deal structure, but really left it and valuations for another day.
I believe my presentation was well received. This was confirmed by the “convention/seminar” adjusted Clap-O-Meter. Let me refresh your memory; Level 1 – No Clap; Level 2 – End of Finger Clap; Level 3 – Hard Clap Air in Palms, and Level 4 - #3 with people standing and dancing on tables. We were a Level three.
Hopefully I can do this one again.
DO YOU WANT the presentation? Please e-mail me direct and include your contact information. -- Tom
More about Tom:
NCC - New Commerce Communications
E-Mail Tom Direct
Copywriting for Direct Mail - Part 2: Big GunsMon, 24 Nov 2008 12:22:00 -0600
The first rule for writing for direct mail was codified by Herschell Gordon Lewis who said: “Fire your big guns first.”
What does that mean? It means get to the point as fast as you can. You have somewhere between one second and 10 seconds to hook your audience, so don’t waste time warming up and don’t waste time talking about yourself. Talk about what your audience wants.
“At 21st Century Dietetics, we have over 25 years helping people like you lose weight.”
What’s wrong with that? Plenty. Nobody cares about the experience of 20th Century Dietetics – at least not at this point in the sales pitch. Also, what could be less specific than the proposition to “lose weight.”? The response from virtually any reader is going to be: “So what! Who cares?”
“Need to lose 20 lbs. before Christmas?”
Now, that’s better. It’s got specificity and a deadline. It’s got an implied you. You’re talking directly to the reader about something they want. It’s also got the nice, relaxed pattern of normal speech. And it’s economical – seven words instead of 15.
Here’s a secret: The goal of expert copywriters is to have their copy become invisible. You don’t want the reader overly aware that they are reading copy. You don’t want them stumbling over difficult words and awkward phrasings.
Which leads us to another important copywriting tip: write to the background, experience and expectations of your readers.
• If they are ordinary people, use ordinary words.
• It they are technical or scientific, throw in an aliquot of technical terms.
• If they are highly educated, a soupçon of elevated diction and syntax may be in order.
• But remember this, you can almost never go wrong being simple and direct, no matter who the reader is.
“Promise, large promise, is the soul of an advertisement,” said the 18th Century writer Samuel Johnson. When he was asked to auction off a brewery he remarked: “We are not here to sell boilers and vats, but the potentiality of growing rich beyond the dreams of avarice.”
In the next post, I’ll write more about expressing “large promise”.
Host Color LLC is a US web hosting company incorporated in Delaware, whose goal is to empower thousands of small business and personal websites in data centers in South Bend, Indiana, US and Amsterdam, The Netherlands. The company also provides fully Managed dedicated hosting through HC Servers. It offers discounts to academics and non-governmental organizations.
We have avoided repetitions of any sort in the matter on audio stream server. However, if you do come across any repetitions, do bear with us. #
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