Years ago I did a bit of work with some merger and acquisition experts. These were not the guys that make deals. Instead they were the guys who helped to glue the companies together afterwards.
The conclusion I came to after working with them was that in a big acquisition, 1+1 never equals 2. If 1+1 ends up equalling 1.6, you’ve done pretty well.
I suspect this may end up being the case for MSFT and Yahoo! Both have execution long-standing execution problems and their platforms are wildly divergent. Glomming the two companies together will be hard.
I’ll leave others to speculate on how the deal will play out. All I can predict is that one of the first signs of integration will be some really lame branding. WindowsLiveHot/Yahoo!MailOfficeSpaces.ous anyone!?
The service would never get out of Delta, either!