Feeds

Microsoft! touted! to! buy! Yahoo!

Redmond may be ready to pick over the carcass

Security for virtualized datacentres

Microsoft is mulling the purchase of Yahoo! according to published reports that pushed up the share price of the declining portal site by about ten per cent in Wednesday's trading.

Reuters quotes a high-ranking Redmond executive as saying that the company is considering a bid for Yahoo!, possibly in association with another partner company, but that the deal is causing strong disagreement internally. Those keen on a deal are claiming the move would effectively knock AOL out of the industry, but others feel that it is better to invest in a company with growth potential, not with its best years seemingly behind it.

“Yahoo's value hasn't grown in years, and some executives feel we should buy something that is more forward-looking," said the executive, who spoke on condition of anonymity.

Microsoft has long had an interest in Yahoo!, with erstwhile CEO Jerry yang reportedly turning down a bid from his counterpart Steve Ballmer of more than $40bn a few years ago. That's more than double its current value. That decision was a factor in Yang’s resignation from the top job, when he was replaced with the recently-fired Carol Bartz.

Microsoft is not the only potential suitor however. Several private equity firms have been suggested as possible buyers and the company has reported receiving statements of interest from others, with Chinese portal Alibaba also mulling a bid.

If Redmond did take over Yahoo, the deal could provide a boost for the Bing search business, potentially giving Microsoft around 30 per cent of the search market. This could however attract the interest of the regulators, and it seems possible Microsoft would have to sell off part of the company to satisfy competitive concerns. ®

Choosing a cloud hosting partner with confidence

More from The Register

next story
The 'fun-nification' of computer education – good idea?
Compulsory code schools, luvvies love it, but what about Maths and Physics?
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Yes, yes, Steve Jobs. Look what I'VE done for you lately – Tim Cook
New iPhone biz baron points to Apple's (his) greatest successes
Lords take revenge on REVENGE PORN publishers
Jilted Johns and Jennies with busy fingers face two years inside
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
Edward who? GCHQ boss dodges Snowden topic during last speech
UK spies would rather 'walk' than do 'mass surveillance'
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.