Yahoo Owners May Prefer Microsoft Bid to Google Fight

February 4, 2008 10:57 am

 Jerry Yang, who pledged last year to lead his team of “Yahoos” to victory, may find investors would rather team up with Microsoft Corp.Yahoo! Inc. rose the most since its first day of trading when Microsoft offered $44.6 billion for the company, the second- most popular search engine, on Feb. 1. Yang, who returned as Yahoo’s chief executive officer to try to reverse a two-year stock slump, had presided over a 32 percent drop before the bid.

“I doubt that Jerry and David want to sell Yahoo,” said Mark Cuban, the billionaire owner of basketball’s Dallas Mavericks, who sold Broadcast.com to Yahoo in 1999. “But this is a very smart move for Microsoft. There will surely be a ton of duplication on the technology side, which should cut costs significantly.”

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http://www.bloomberg.com/apps/news?pid=newsarchive&sid=awG7TU20fjKc

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