Yahoo Could Wind Up in Chinese Hands
Alibaba pursuing a Yahoo purchase, reports say
12/29/2011 | By James R. Hood
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ConsumerAffairs.com
| Internet
OK, so the U.S. has lost its leadership in the manufacturing category, but it still reigns supreme as the world leader in software and entertainment products. But maybe not for much longer.
Alibaba Group Holding Ltd. has hired the Washington, D.C. lobbying firm headed by former White House official Kenneth Duberstein as it explores a possible Yahoo takover. The hiring was disclosed in a December 23 filing.
Yahoo now owns 40% of Alibaba but Alibaba founder Jack Ma has previously said he is interested in acquiring all of Yahoo.
Although Alibaba is an independent business, the U.S. reaction to a Chinese firm taking over an American media company would be likely to arouse considerable opposition in Washington. Hence the Duberstein hiring.
Duberstein, who was chief of staff during the Reagan Administration, would be expected to do that voodoo that lobbyists do so well, smoothing ruffled Congressional feathers and calming hyperactive regulators.
Yahoo, which recently ousted its CEO, Carol Bartz, has been in an earnings slump for years Google and Facebook cut into its audience and earnings, and its board is exploring various options to make the company profitable or unload all or part of it.
Joe Cave (Thu, 29 Dec 2011 20:33:27 +0000): It's just a matter of time before we're called the "United States of China".
Faye-Linda Quimby McGovern (Thu, 29 Dec 2011 22:38:17 +0000): hell, why not? Because of bad US politicians stupid decisions, 3/4 of this country is owned by China....where will it stop?
Miles Chapuis (Mon, 02 Jan 2012 04:42:35 +0000): With a little luck Yahoo will be taken over and with a vast improvement in their terrible server issues in conjunction with AT&T. Also they might prevent the Yahoo blockage of emails -- it's gone so far as to block my hospital in Thailand when I was hurriedly awaiting lab results -- and I notice that virtually no Thais use Yahoo; Hotmail and others, yes, but not Yahoo, presumably new management can perk up their business in other countries.