Interesting article by Tim Sweeney.

"I had to laugh when I heard rumors concerning the new Microsoft-Yahoo negotiations. Let’s see, Jerry Yang turned down Microsoft’s (MSFT) original offer because (a) it substantially undervalued the long term prospects of the company, and (b) he wanted to keep the unique culture and spirit of Yahoo (YHOO)."

In Jerry Yang’s blog to his employees (Ok, so now what?), he apologized for the three month distraction, but assured his employees of a bright future.

Some even questioned whether Microsoft’s unsolicited proposal would distract us from our mission, just as we were beginning to really push the pedal on our strategy.

Those people underestimated the determination of Yahoo’s incredible people, spirit and culture….

Has this experience changed us? Of course, it has. We’ve emerged a stronger, more focused company with an even greater sense of purpose. I’m so proud of how this company has come together, put the noise aside, and showed the world that we have the resolve and determination to thrive in challenging times.

Finally, I’d like to thank the many of you who so passionately shared your support for Yahoo. That’s what brings it all home for us.

Well, three or four days later, we find out that Jerry and the Board are now negotiating with Microsoft to (a) sell its search business to Microsoft, (b) sell its Asian assets to Alibaba and (c) let Microsoft take a minority interest in the “leftover” Yahoo.

"So you won’t sell the whole company to Microsoft for $33 a share, but you will sell your two biggest engines for growth and let a competitor take a minority interest in Yahoo. Can’t wait to see how much the shareholders can anticipate getting from this deal."