Microsoft & Yahoo! Go At It Again

The ongoing drama between Microsoft and Yahoo! continues. After walking out on its 46 billion-dollar offer to acquire Yahoo!, Microsoft recently said that it’s now working on a transaction with Yahoo!, but will not be buying it out. While there were no details specified as to what that actually is, a few possibilities were offered:

Microsoft declined to provide details of its proposed deal with the Sunnyvale, Calif.-based Web portal, but the transaction likely involves Yahoo!’s search advertising business. The deal could be structured two ways: as an acquisition of that business or a partnership in which Yahoo! outsources its search ads to Microsoft. Yahoo! has also been in discussions with Google about such an outsourcing partnership.

So the saga continues. I actually thought that the walkout was going to be the end of it, but considering Yahoo!’s woes, it isn’t hard to imagine that it would not shut its doors completely, especially not to Microsoft.

Source: Forbes

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