Just when we thought it was over… and Ballmer states that Microsoft had moved on… the TimesOnline reports that Microsoft is looking at a $20Billion deal with Yahoo. This time however, they’re not looking to buy the whole company… just the Yahoo Search Business.
As the Times states:
The proposal forms the centrepiece of a complex transaction that would see Microsoft support a new management team to take control of Yahoo. But there is no intention of Microsoft tabling another takeover bid for the web giant, after its aborted $47.5 billion offer this summer.
I guess this makes more sense, as Microsoft get the piece they were really after, Yahoo’s pride is not as damaged as it would’ve been if they were completely absorbed into Microsoft… and most importantly we’ll have one remaining competitor to Google. If this deal extends to include non-US markets then Microsoft stands to benefit from the market-share Yahoo has in the Asian markets… especially in Japan.
I’ve got a few friends working in the Yahoo Search area… I wonder how they feel about this?
Update: Looks like TechCrunch is negating the news… makes for exciting stuff.


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