News Corp. may join Yahoo bid with Microsoft

Cory Bergman April 9th, 2008

Whoa, NYTimes.com is reporting that News Corp. is in talks with Microsoft to join in the bid for Yahoo. The talks are in a “sensitive stage” and far from a done deal, a source says. “The combination, which would join Yahoo, Microsoft’s MSN and News Corporation’s MySpace, would create a behemoth that would upend the Internet landscape,” reports the Times. To say the least. Meanwhile, Yahoo is conducting a two-week test to allow Google to serve ads alongside Yahoo search results. As you might imagine, Microsoft blasted the idea. “Any definitive agreement between Yahoo and Google would consolidate over 90 percent of the search advertising market in Google’s hands,” Microsoft said in a statement.

Update: Wait! Now Yahoo is talking to AOL, says the WSJ. What a mess.