07 May 2007

Microsoft Asks Yahoo To Reconsider Merger Talks: Report

Microsoft has been fluttering its eyelashes at Yahoo for a while now, but nothing has come of it. Now the biological clock of MS is ticking (to continue a disturbing analogy) and its overtures to Yahoo are reportedly becoming more urgent. PaidContent is following the story, and we’ll keep track as well—although mobile is a small part of the operations of both companies, they’re both very heavily involved in the mobile space. Microsoft is pushing its OS for smartphones, its connectivity to the Live gaming service, search, and pretty much anything else it can push. Yahoo is also pushing mobile strongly, with oneSearch, Yahoo Go and a suite of mobile publishing services… on the off-chance a merger or acquisition does occur, there’s likely to be some consolidation—or at least tie-up—amongst these mobile services.
Although Yahoo and MS are not overly thrilled with one another, it could be a case of “the enemy of my enemy is my friend”, with both companies having taken a beating from Google online, and keen to avoid that happening in the mobile space. That may not enough for a merger, but it can’t hurt

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