updated 02:50 pm EDT, Tue June 24, 2008
MS Yahoo Rumored Again
Conflicting reports have surfaced today of Microsoft potentially renewing its interest in a Yahoo deal. Information sent from "multiple" sources to TechCrunch claim that the two firms have not only resumed talks after Yahoo's abrupt conclusion of negotiations but that Yahoo is willing to entertain a bid lower than the $33 Microsoft says it proposed immediately before talks first broke down in early May. The move is said to be triggered both by a steep drop in Yahoo's share price as well as pressure to secure an important agreement with Microsoft.
The search engine pioneer is also in upheaval after several key executives left the company within the past several days, including the founders of Flickr and Del.icio.us. A threat of a proxy takeover of Yahoo's board by investor Carl Icahn has been minimized at the same time, however, as Microsoft's statements that it has no more interest in a full deal have reportedly quashed Icahn's plans.
TV network CNBC, however, has responded to the claims by citing a contact said to be close to Microsoft who rejects notions of a full deal.
"There is no deal for the whole company, and nothing has changed as of today," says the unnamed insider, though the contact doesn't mention the possibility of a revived partial deal that would include buying out Yahoo's search ad division.
Neither Microsoft nor Yahoo has publicly commented on either of the rumors.