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Last 7 Days News : SU MO TU WE TH FR SA All News

Monday, May 07, 2007
Microsoft, Yahoo Talks No Longer Active


Talks between Microsoft and Yahoo are no longer active, the Wall Street Journal reported on Friday, citing people familiar with the situation.

The report comes after two newspaper articles, including the Journal, said the two companies were in talks for Microsoft to buy Yahoo. Microsoft and Yahoo have held informal talks over the years, but the latest approach comes as the software company seeks a deal to counter Google's rapid growth.

The New York Post said on Friday Microsoft made an offer to buy Yahoo a few months ago, but Yahoo spurned the advances. The paper, putting a price tag of $50 billion on a Yahoo takeover, said that discussions continue between the two companies.

Both companies have not officialy commented on the reports.

If Microsoft decided to buy Yahoo, it would be the largest acquisition the company has ever done. Its current largest purchase was a $1.33 billion deal in 2002 to acquire Navision, a maker of business software.

Google, the market leader in Web search, is extending its lead on both companies as it continues to gain market share and grow three to four times faster than Microsoft and Yahoo. Google quarterly revenue grew 63 percent from a year ago.


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