Microsoft aims to carve up Yahoo

Matthew Karnitschnig and Robert Guth | July 03, 2008 MICROSOFT has begun positioning itself for a new run for Yahoo's search business by approaching other media companies to join it in a deal that would effectively lead to Yahoo's break-up, say people familiar with the discussions. Microsoft has held discussions with Time Warner and News Corporation (owner of The Australian), among others, say people involved in the talks. In the past, Microsoft floated an arrangement under which it would acquire Yahoo's search business and another partner, such as News Corp's MySpace or Time Warner's AOL, would combine forces with what remained of Yahoo. Some of the people familiar with these talks say they are preliminary and unlikely to result in a deal with Yahoo. Indeed, two weeks ago, Microsoft chief executive Steve Ballmer called Yahoo... [read full story]                    

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