Yahoo Ends Talks With Microsoft, Embraces Google Instead

snydeq writes with a story from InfoWorld which says that "Yahoo has ended its talks with Microsoft and is instead nearing an agreement with Google. Yahoo's purported reason for breaking off the talks? That Microsoft was only interested in purchasing Yahoo's search business, not all of the company. 'Such a transaction would not be consistent with the company's view of the converging search and display marketplaces, would leave the company without an independent search business that it views as critical to its strategic future and would not be in the best interests of Yahoo stockholders,' the company said in a statement. The deal with Google allegedly involves Yahoo's search advertising business. The move likely will draw more ire from Icahn and may in fact remain part of the elaborate poker game between the two companies. Microsoft said this alternative transaction remains on the table and did not confirm that talks between it and Yahoo have concluded." Update: 06/12 23:58 GMT by T : CWmike writes "Just hours after saying it ended talks with Microsoft, Yahoo announced that it will start running advertising from Google alongside Yahoo search results. Yahoo expects the deal, which has a 10-year term, to generate $250 million to $450 million in operating cash flow during the first 12 months."

Comments

imagine this ...

[rs232]

Seriously, imagine if Apple were trying to acquire, for instance Transmeta, (purely hypothetical) and offering a 45%+ premium. And Transmeta in response turned it down and set up internal policies to make generous severence payments to employees who chose to leave after the acquisition.

Imagine that Apple made a 100% offer on $40 offer for the die making division of Transmeta and then after the refusal Apple got some corporate raider to quietly buy up the stock and then sell it off causing it to tank at which Apple stepped in at 60% of of $20

What do you call that? I call that shady dealings

Re:I sense a disturbance in the force...

[i.of.the.storm]

Hah, I preempted a spelling nazi attack! I mostly did that because often it's me being the spelling/grammar/semantics nazi.