Microsoft is still eyeing
Yahoo's search business, but says a full buyout is definitely
off despite the internet firm's low share value.
Yahoo's share price has plummeted since Microsoft's offer of $33
a share in February last year, with share prices hovering around
$13 dollars.
Steve Ballmer, Microsoft's chief executive, said in Las Vegas
this week that a full acquisition of Yahoo was a thing of the
past.
Ballmer reiterated Microsoft's interest in Yahoo's search
business this week, saying the management transition at both
companies was an opportune time to do a deal.
Microsoft appointed former Yahoo search head Qi Lu to lead its
online operations in late 2008 and Yahoo is still searching for a
successor for outgoing CEO
Jerry Yang.
Yahoo is expected to make an announcement as early as next week
or by the end of January at the latest, according to The Wall
Street Journal.
Ballmer told the Financial Times that if a search deal is to be
made, it is probably to be made in the interim period for new
leaders in both places.
Microsoft is seeking to bolster its position against Google,
beating out its rival in search deals with Dell and Verizon
Wireless announced this week in Las Vegas.
Earlier in the week, the Tech Crunch blog site said some
technology sector executives were planning to borrow $20bn from
Microsoft to buy Yahoo for $15 a share.
Bloomberg later dismissed the deal, citing unnamed sources as
saying Microsoft was not discussing any financing plan for a Yahoo
deal.