Yikes! Talk about a powerhouse combination if it comes through! And a total change in the internet landscape…
The NYT reports Rupert Murdoch is talking to Microsoft about a joint bid for Yahoo. That would mean Microsoft’s MSN, News Corp’s My Space and Yahoo would be rolled into one big internet giant.
Yahoo, who has been resisiting Microsoft, has been talking to Time Warner and News Corp, looking for ways to stay independent. So it must come as a surprise that News Corp is talking with Microsoft – especially when Murdoch offered Yahoo CEO Jerry Yang his help in fighting off Microsoft. None of the companies are commenting on this turn of events.
Meanwhile, Yahoo yesterday suggested it might be willing to cede part of its core business to Google, to remain independent. For starters, in a 2-week test, it will outsource a small portion of its search advertising to Google to see if they can get more revenue if Google ran the advertising system.
Stay tuned…