Yahoo incorporated shares plummeted downward in premarket trading after reports say Yahoo may regret belittling the network site Facebook during negotiations. Last year, Yahoo attempted to buy Facebook beginning at $1 billion dollars and then even offering $1.62 billion dollars; but the two sides could not agree. Yahoo missed out on a great opportunity since Facebook now has more than 21 million users and 1.5 billion page views each day.

Analyst Mark May says, “We believe Yahoo must take steps to gain a real leadership position in social networking or risk not participating in what could be one of the leading sources of growth in the consumer internet sector over the next five-plus years.”

May also implies that Facebook shares will lose 5.4 percent of their value over the next year. Yahoo shares lost 2 cents to $31.70 in premarket trading.

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