Shoestradamus in The House; Microsoft Buying Yahoo

by Jeremy Schoemaker on February 1, 2008 · 77 comments

ShoeMoney
Photoshop ninjary by BigDave.

In a effort to try to stop all the emails asking me to predict the future I will acknowledge that I predicted the Microsoft buying Yahoo in my 2007 predictions (made december 16th, 2006). I also included 10 reasons why it would happen and some people thought it was worthy of the front page of Digg.

This news will not be a surprise to the shoemoney.com loyal readers. They are familiar with my past predictions such as Mybloglog getting bought by Yahoo! and also Google purchasing YouTube. (even though people like Mark Cuban tried to call me out! NICE TRY WHO IS LAUGHING NOW CUBAN). I would like to thank all major blogs and media outlets for not drawing major attention to yet another amazing prediction.

Please stop emailing me asking me for lottery numbers, when you are going to die, or if you will be fired on Monday. Seeing the future is not something I can control. Its a gift and it must not be abused. I will post more as I see it.

If you have not heard yet

Now excuse me I have to call my stock broker

full disclosure

About the author...

– who has written 2896 posts on ShoeMoney.com.

Jeremy "ShoeMoney" Schoemaker is the founder & CEO of the ShoeMoney Blog, Elite Retreat Internet Conference, & the PAR Program. In 2013 Jeremy released his #1 Amazon Best selling Autobiography titled "Nothing's Changed But My Change" - The ShoeMoney Story. Jeremy currently lives in Lincoln Nebraska with his wife and 2 daughters.


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{ 77 comments }

1 Brian Free

I stand in awe of thee Shoestradamus

2 Mike 11|15 Media

I bow to your superior industry insight. Please use your power wisely Shoe!

3 Adam Carson

If you could let us all know what’s going to happen in the last three seasons of Lost so that we don’t actually have to watch it that would be great.

4 Stephanie

So what happens next, Shoestradamus?

I suppose the big question is will the deal go through?

5 Alex

Classic!

That a boy!

6 Eduardo Maio

I second that! LOL

Shoemoney 7 ray

all joking aside shoe you have been pretty spot on.

8 Mark

Hi Shoe, do you think the merging of Yahoo and MS is going well. In the German Newssite Spiegel they sayed, most Big Tech mergings went wrong. For example Time Warner / AOL or HP / Comaq.

9 Mike

Looks like Quadszilla had you beat by a few months though man :)

http://seoblackhat.com/2006/07/20/microsoft-and-yahoo-merger-preparations/

10 Nascar

I bow to your greatness! Too bad my broker don’t read shoemoney enough.

11 Hustle Strategy

i stand in awe as well… good call. you will have to make bets on it next time with Cuban.

12 youfoundjake

I told you so Shoe, but not only did you not listen, but you wrote about it yourself, claiming it as your own idea…nice.
J/K
good call..

13 r.idiculous.com

yeah what is next.

Shoemoney 14 roger

not realy… that post was about the 2 instant messanger services working together and it was quoting cringly

15 browie

Amazing,

Well not really but still. Good guess

16 WebSide Ventures

Ummmmm linkbait?

17 Buy Website

Awesome. Any chance you could share the PA lottery numbers for the next few days? Just kidding.

Michael

18 John

did you predict the first attempted purchase where yahoo said thanks, but no thanks? or are you saying you predicted this new purchase?

With great power comes great responsibility

19 jim

They just made an offer… can’t gloat yet. :)

20 Davide Di Cillo

good job ;)

21 Tim

Aww, Daddy gonna call his broker now. Blue Horseshoe loves MSFT…buy a hundred thousand shares at the market. Don’t forget to add some big banks to that order!

22 ddn

Are you retarded?

23 Gary

well done, but seriously, about those lotto numbers…

24 Suzanne

lol … great pic. By the way, I was wondering if … oh, never mind.

25 Start Blogging

Just saw the headline on iGoogle. As long as they don’t replace the mail system with their crappy hotmail! I hate hotmail.

26 Think Like An SOB

Ok. All kidding aside… who do I bet on this Superbowl weekend?

27 How To Rule The World

wow you guessed it. However I don’t think this will solve yahoo’s or MSN’s problem and Im not sure what is worse. MSN adcenter or yahoo’s lack of traffic.

28 Jeremy Schoemaker

Actually I was calling to sell my yahoo stock which gained 48% on the day

29 Jeremy Schoemaker

yes of course

30 Fat Kid Unleashed

Nothing set in stone yet boys, don’t get your affiliate IDs in a tie yet.

31 Kunal

Good work on your part, bad on MS.

First, MS is probably a bit too late. With stellar earnings from Google (disregarding today’s and last quarter), I think analysts have been upping expectations for internet advertising sales. Strike one.

Strike two would be the huge payback period. $40B is a helluva lot of money to make up. Now, I havne’t referenced any facts or anything, purely off the top of my head, but didn’t Google have a revenue of 1 or 1.5B last quarter for advertising sales?

I mean, lets keep it real, MS is only buying Yahoo because of its marketshare in internet advertising. By getting rid of one of the major competitors, you are now looking at only two main sources of traffic search.

Unfortunately, I doubt this fact will do very well for affiliate marketers, as with one third of the competition gone, its only a matter of time before MS and Google can justify a hike in ad costs. Also with Google getting its ass handed to it today, Google has to show up to next earnings reporting with a shining gold star. That would mean raising prices for advertising.

I think MS is really just trying desperately to enter anything that can give them a better marketshare. Facebook, anyone? While Google is an innovating company, it seems that microsoft is just clawing to keep up.

And c’mon, Yahoo? Has anyone seen their stock price over the last year? Jeremy, unfortunately if you were holding onto your share for a year, you would be below breakeven. I’m sure many shareholders saw today’s 48% stock price spike as a relief ‘hail-mary’, rather than a jump for excitment with profits falling from the sky. after all, Yahoo as a company has been doing piss-poor for a while now, even after their golden boy Yang came back to the helm.

Well done on MS for bidding on Yahoo, when its shares were at the worst its seen since early 2004.

-Kunal

32 Will

wait mark cuban actually called you out on that? lol!

33 Will

i just hope microsoft doesn’t screw up yahoo and make it worse.

34 Frugal Dad

Now that was a great call! What’s next for the colonial empire of Microsoft?

35 Dom

Shoestradamus, please tell us. When will Google buy Skype?

36 RacerX

I will get mocked and / or shot for this, but after using Google AdSense and MS AdCenter…From a strictly user side…I like Microsoft Way better. Way less “our way or highway” and better integrated toolset…just no traffic :)

37 Jared

HAHAHA
WOW. So I read this post and instantly thought of who Shoe reminds me off… Ed Glosser.. TRIVIAL PSYCHIC!!

“I didn’t ask for these powers, they just came to me!”

Must watch: http://video.aol.com/video-detail/saturday-night-live-ed-glosser-trivial-psychic/470296958

btw, nice predictions Shoe :)

38 Fat Man

GIANTS over the Patriots. That’s my prediction.

39 Simple Mindz

I heard about this ! I think they are buying it to try and “save” yahoo because they did so bad this year. Microsoft’s live search I heard was not doing so hot either?

40 Jake

So with a head to head microsoft / google rivalry would google grabbing adobe be out of the question? Google is in the software business now and control over the flash player could be invaluable.

41 r.idiculous.com

Third

42 name

Shoestradamus January 29th, 2008

“I think Google will meet 4th quarter expectations and the stock will rise a bit to 600 by the end of the week. Its currently at 555.98 per share.”

End of the week Google misses estimates to close at $515.90.

43 Hustle Strategy

fourth. this is really killing me. i like plot movement. and don’t mind only having one more season… i enjoyed the intro to the show, but the hanging plot is killing me.

44 Andrew Stone

This will be interesting, one big advertising network with Yahoo and Microsoft combined

45 Hustle Strategy

i think we need proof. ;)

46 Hustle Strategy

has ebay given them up yet?

47 Adam

Stockbroker? But in your bubble post you said you didnt care for the market :)

48 Melvin

WOw!!!! thats huge!!!! NIce pic shoe…^^

49 Affiliate Confession

You are a genius, Master Shoe. Maybe someday you will make the cover of Business Week.

50 oakling

Good work! So what does this mean for their announcement that they’re getting rid of 1,000 people to, you know, “pave the way for the future”? (or prevent the CEO from taking a pay cut… or whatever the real reason was)

51 John_loch

Shoestradamus strikes again !!

Cool post ;)

52 domprofesor

This should have happened last year, because Microsoft had some previous chances to buy but i think Yahoo didn’t want to sell.

53 Dmitry

i think it was quite anticipated given that the stock of yahoo really tanked for the last few months.. i’m actually quite surprised it didn’t happen sooner…
the most amazing thing that can still happen if yahoo board rejects the offer…

54 Simlock verwijderen

I don’t know why people wants that Microsoft buys Yahoo? I don’t like it, because Microsoft becomes more popular and then you need to optimize for a lot of search engines, that is not human. Or are there some advantages for us when Microsoft buys Yahoo?

55 Boston Painters

Good work, Shoestradamus.

56 Richard

Your Blog is great and it is a pleasure to read information from a real person. I am not suprised you are so well listed. Honesty is what got you to the top ratings. Hope I can follow in your footsteps with my blog.

Regards

Richard

57 Derek

Is this finally an admission from MS that their search engine is fucked? And to the extent that it’s worth spending $44 billion to fix? ;)

58 Adtoll Forums

Wow Jermy Is Right i give you big props bro i would of never thought microsoft would of did that but you did your da man

59 Brent

Ha ha,,I was waiting for this post. If Yahoo does bite, do two wrongs make a right? Even if they do merge and IF the merger proves to be an improvement – they’ll still only barely put a dent in Google.

60 Jeremy Schoemaker

i dont… and prefer to invest most of my money in my own businesses. I picked up some yahoo stock years ago and now am dumping it

61 Alan Johnson

If that were to happen then G may just (finally) have a serious competitor and, as such, they will definitely change their attitude, a change which is always welcome :)

62 Alan Johnson

You never know what could happen and the two companies may just perform far better than most people would give them credit for at this point.

63 McBilly Wilford

I think that would be unlikely. This buy-out will definitely be a good thing for both Microsoft and Yahoo, IMHO.

64 RacerX

So…Does AOL go to Google or News Corp…Now is time for TimeWarner to unleash the dog and run while there is some traffic there. It has been a scary drag on TW stock since Scott Case pulled the ultimate fast one!

65 gusma

Shoe. I can only see this as a trade of favors. Isn’t it logical that when yahoo announces the dismissal of employees hoping to bolster it’s stock (making more of what we call activos, or assets available) it doesn’t happen. We heard of such smokebombs before. I just don’t see it happening.

If they hadn’t done it before by 50k million, why now for less? It’s just a maneuver to up-n-up their stocks again. God knows what Yahoo will have to pay for with later.

66 Syed Balkhi

I think it won’t do any good, but will make google better as stocks of yahoo will fall and microsoft’s investment will not come in result for a few years atleast. I dont think it is a good idea. But o well.

67 Terry Tay

I think I saw this news somewhere but I didn’t thought it was true till I see this. Is yahoo really getting in trouble or do they just wanna team up and compete with Google? Makes me wonder.
~Terry

68 SEOContest2008

After the take-over, Microsoft will have quite a few things to learn from Yahoo ;)

69 SEOContest2008

Don’t ask this again, he actually did this prediction to stop all the emails asking him to predict the future ;)

70 SEOContest2008

That’s a clever move shoe :D ;)

71 SEOContest2008

That is true. I completely agree with Alan here.

72 SEOContest2008

This could be a possibility, as they can combine and give Google a hard time together.

73 InfectedByBugs

What a beard that guy has!

74 Matt Kho

couldn’t agree more

75 Dan Horton SEO

Good prediction shoe, another step for Microsoft to change the way they are perceived in search, well away from their company branding.
nice to meet you too! im on the weight loss program too, well done to you on that

76 legal

i hope if microsoft do buy yahoo, the yahoo mail stays there. yahoo mail is much better than msn hotmail.

77 Blog Advertising Network

Yahoo is really going down. I see Microsoft as a good solution to put Yahoo back on his feet.

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