Microsoft Buys Yahoo Search biz – Why is this a good idea?

I dont get it, maybe Im not the smartest guy, but some questions arise:

1) how will Microsoft retain the brand image of Yahoo search – I mean it is almost a sure thing that no matter what they buy will devolve into another MS Live-Blah misbranded product? no?

2) what will Yahoo do with the missing search revenue? Just replace it with Google. I thought that Yahoo has sunk almost a billion into its search platform R&D, – isnt this an admission that they have failed? If so, why would MS want it?

I have a good friend who was invited to “jury” for Yahoo’s senior search team. That is the only way he could describe it – A Ph D. style juried dissertation taking place over 4 days. This man is a senior computational scientist with credentials in the pharma, life sciences, and trading tech market, and he is one sharp blade; I worked with him at FT R&D. He did not, ultimately get the job at Yahoo, but he had this to say (and I will wrap up why I think this is relevant to MS-Yahoo): read post  jump for his impressions Continue reading