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Will Microsoft and Yahoo Agree on Agreeing?

January 09, 2009

Those in the tech industry or those who have an interest in the soap opera that is Microsoft and Yahoo’s back-and-forth talks or lack there of about Microsoft potentially gaining control of Yahoo’s search engine may begin, yet again.

According to Steve Ballmer, Microsoft's chief executive officer, now is the best time for a partnership between Microsoft and Yahoo in the search business, as both companies are undergoing a management transition.
"We now have someone in place running our online business, and Yahoo’s out looking for a CEO," Ballmer told the Financial Times in an interview published on the paper's Web site. "If a search deal is to be made, it’s probably to be made in the interim period for new leaders in both places."
Jerry Yang, Yahoo’s outgoing chief executive, has said the Internet company would be open to any new discussions about a deal after being slammed by shareholders over his failure to agree to a Microsoft acquisition.
Yahoo has been searching for a replacement for Yang since November and is believed to be closing in on a candidate, the paper said.
CNBC reported that Microsoft first proposed a deal in which it would get control of Yahoo's search business last year, after dropping the full acquisition offer.
"We had a deal on the table that they didn’t choose to take, but I still think that makes sense," Ballmer told the FT. "For us, the value to the customer, the value to the advertiser, all gets created around the search partnership."
It’s anyone’s guess as to what might happen next. Be sure to stay tune as this story may or may not develop.
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Jessica Kostek is a channel editor for unified communications, covering VoIP, CRM, call center and wireless technologies. To read more of Jessica’s articles, please visit her columnist page.

Edited by Jessica Kostek