Based on comments made by Microsoft executives, the company's bid for Yahoo could affect its mobile plans more heavily than online ad dollars, reports Forbes.
Microsoft has long followed Yahoo's inroads in mobile applications. In the mobile arena, Microsoft focuses less on consumer usability and more on designing software for mobile devices to run on.
A merged company would combine both strengths. There would also be increased concentration on mobile advertising.
This centralization of resources and sudden scale would present challenges to both Google's Android and Apple's iPhone.
The two also bring different approaches to the business side of mobile. Where Microsoft works with device manufacturers, Yahoo primarily deals with carriers. A unified front would give the combination negotiating clout in the mobile market.