Originally published November 29, 2008 at 12:00 AM | Page modified November 30, 2008 at 12:00 AM

Microsoft, Yahoo reportedly talk about search deal

Microsoft Pri0 | Sunday Times report has Microsoft discussing deal to buy Yahoo search for way too much

The Sunday Times of London reported that Microsoft is in talks with Yahoo and could be crafting a $20 billion deal that would give it the troubled Internet company's search operations.

The deal would be part of a complex transaction that would throw Microsoft's support to a new Yahoo management team. That team apparently would be headed by former AOL chief Jonathan Miller and former Fox Interactive Media head Ross Levinsohn, the London paper reported.

Microsoft would provide a $5 billion facility to the management team and get more than a 30 percent stake in Yahoo, the report said. It would receive a 10-year deal to manage the search business and a two-year option to buy it for $20 billion. Yahoo would still run its e-mail, messaging and content services.

A Microsoft spokesman said late Saturday the company would not comment beyond what it has said in the past, that it would be open to the possibility of a "search collaboration."

Meanwhile, Levinsohn told technology blog Venture Beat on Saturday night there was no truth to the report.

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Comments

This is great. I mean, everyone knows two crappy products make a good product . . . an I right or am I right? Posted on November 29, 2008 at 10:59 PM by Yocto Yotta. Jump to comment

Unbelieveable. Everyone in the world knows that MS should stay away from Yahoo. Everyone except Microsoft, it seems. Welcome to the New... Posted on November 30, 2008 at 10:08 AM by Miami Logan. Jump to comment

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