I understand the point you are bringing up. However, there's one thing about tech companies is that their cashflow can only be sustained if their position were defensible. RIM and Nokia demonstrate how quickly a stellar business can fall into the precipice. In terms of business lifecycle, Yahoo is effectively a cash cow. http://www.valuebasedmanagement.net/methods_bcgmatrix.html It may generate a lot of profit, but it is in a business that isn't growing its market share, and risks not replacing its lost audience.