Following up on some previous comments about Zend possibly lining itself up for a buyout, John Coggeshall has posted some of his thoughts on the matter being one of the ones that used to be "on the inside" of the company.

Zend has laid off approximately 25% of their R&D staff in at attempt to become cash-flow positive and potentially line themselves up for an acquisition. I don't have any hard figures as to what that means but I'd estimate that Zend's recovered somewhere between $6-8M in revenues [...] which is why Everyone I've spoken to who is familiar with the subject considers the lay-offs a positive thing.

He goes through the potential list of buyers that have been mentioned so far (Microsoft, IBM, Yahoo!, Facebook) and gives his "why" or "why not" reasons for the probability for each to make the purchase.

He also comments on the rumor of Andi and Zeev's recent trips up to Seattle...

According to some details over on TechCrunch there's a few rumors being started that Zend ("the PHP company") is looking to sell.

Israeli startup Zend Technologies has fired 25 percent of its R&D team (at least ten people), as well as others across the company, in an attempt to become cash flow positive, says a source close to the company.

The official Zend word is that yes, there have been layoffs but no, they cannot comment on the reasoning behind them. Several big names are being thrown around for possible buyers - Microsoft, IBM and Oracle - who have all shown interest in the past.

Tony Bibbs, in the wake of last week's surprise from Microsoft to Yahoo, has posted a few of his thoughts on the matter.

I woke up this morning to the news of a $44 billion buy-out offer from Microsoft for Yahoo!. This is being covered from all angles in various tech sites like Slashdot but I think the one angle I haven't seen yet is what does this mean for PHP?

He mentions the work that Microsoft and Zend have done to push PHP support on the OS (check out this email too) and he wonders what the final impact of it all could mean for the language - will things change drastically if Microsoft becomes a major player in the PHP world or would they stay behind the scenes and give the community the support it might need.