Microsoft Seeks Search Deal With Yahoo

[temi]

Microsoft has proposed to Yahoo that it ally on a “transaction” that is something short of the full acquisition that Microsoft abandoned on May 3.

Although the companies aren’t detailing the nature of the May 18 proposal, which remains vague, sources indicate it centers on combinining forces in the search advertising business, an area where both companies trail far behind No 1 Google. Microsoft looks to be interested in buying Yahoo’s search ad business, or at least Yahoo running Microsoft search ads beside Yahoo’s search results, while Yahoo would keep the display-ad business in which it remains the clear leader. Kara Swisher’s hearing the same thing.

source/full story

[Gorkfu]

Interesting stuff. This would be better if they worked together instead of a full blown out acquisition. It seems lots of search engines or companies started giving up on their search engine technology and started using Google's such as Netscape and AOL. I'm sure yahoo and Microsoft both see that as threatening. They simply need new algorithms, heh.

[Cryxellis]

I have read the story about Microsoft eagerness to buy Yahoo, it reach to almost $45 billion (correct me if I'm wrong) but Yahoo refused it..