A particularly interesting slide was released at Microsoft’s analyst meeting. It included “context” about the Yahoo deal and was marked “not for disclosure.”
In other words, the slide had the secret internal analysis of what the Yahoo deal means to Microsoft, including details that weren’t revealed in yesterday’s announcement or today’s presentation to analysts.
It was included in the slide deck briefly available for download from Microsoft’s investor site but wasn’t shown during Steve Ballmer’s speech.
Among the details:
“Net: We will lose money the first two years ($300m total) then start making a decent return ($400m steady state).”
Microsoft also expects total transition costs of the deal to be $600 million to $700 million (“up to $200m could hit us in 2010”), according to the slide.