Internet Giants Start Yahoo Bidding War

Search giant Google apparently became the last to consider buying out a part of Yahoo, although this may seem a bit strange for the service. The company’s share price is so low at the moment that it seems that almost everyone in the world is thinking of buying it out.


The Wall Street Journal confirmed that search engine Google has held negotiations to at least a couple of private-equity companies about potentially helping them finance a deal to buy out the core business of Yahoo. The interest of the search engine would be to sell advertising on Yahoo’s online services and to push its brand-new social network Google+ to Yahoo’s audience, which accounts for almost 700 million unique visitors per month.

Since the negotiations are in the process, today the deal appears to be in its early stages, so it is still quite hard to tell how serious Goggle really is. The industry observers crack jokes that if Google does buy the company, the world would find itself full of the sound of regulators that sharpen their knives before pouncing.

Meanwhile, the Google is not the first outfit to plan a buyout deal with Yahoo. In fact, it is just one of many the industry saw since the company’s board of directors had fired Carol Bartz in this past September. The applicants can even be found in China: according to the local media reports, Jack Ma, Chief Executive Officer of Alibaba, the online company located in China, in which Yahoo owns around 40% stake, has also expressed the thoughts that he might be interested in buying out Yahoo.

At the same time, Microsoft is also considering a joint bid, because in this case it could find some really good employees and someone to partner up with. The current Vole’s plan is to loan cash to its deal partners in order to buy preferred stock in the company, so that Microsoft doesn’t have so much risk.