A Stroll Down Yahoo's Memory Lane

People have enjoyed second guessing every move Marissa Meyer made throughout her tenure at Yahoo.  I'll admit I never envied the microscope she was under although I imagine that running Yahoo during this chapter was a tremendously engaging challenge for her.  

But remember this?  Microsoft offered $44.6b for Yahoo in 2008.  Yahoo's CEO, Jerry Yang, said no.  He felt this offer massively undervalued the company and $40 per share was closer to what the company was actually worth to Microsoft.  

Wow.

It is always easier to play monday morning quarterback than to actually be in the hot seat.  That coupled with my complete lack of an investment banking background discourage me from weighing in too heavily on how much of a blunder this is.

But I know math.  This is a nearly 10x fall from grace.  (Never mind the time value of money.)  That must hurt.

Not that Jerry needs the money.  But the pride.  The feeling that you could have gone out on top, on your terms, and as a winner.  

Instead, Yahoo went out as a beleaguered also ran who was mercilessly pummeled by Google.  

This is in spite of landing an incredibly high profile Google alum as the savior CEO and making a number of big ticket and daring M&A moves to become relevant again.

You can only read so many articles about the implicitly undervalued stake in Alibaba or strength of Yahoo Japan before you start to think about what it feels like to be a team member in the core business and have to go to work every day down the street from Google.  Well - the team doesn't have to any more.

And neither do shareholders.  Especially not the ones who could've, should've, would've made A LOT more if Jerry had said yes.