April 24, 2009

Microsoft Still Shows Interest In Yahoo Partnership

Chief Executive Steve Ballmer stated Friday that even though U.S. software company Microsoft is no longer interested in buying it, a potential partnership with Yahoo is still considered to be of great value.

This agreement between Yahoo and Microsoft could prove mutually beneficial for both companies by providing Yahoo with necessary technology while Microsoft gains a stronger revenue model and a search inventory. They would also be able to share technology in terms of email, search and display ads.

At one point earlier this week, Ballmer expressed that Microsoft was not interested in buying a hardware company after Oracle Corp's surprising takeover of Sun Microsystems.

The day after Microsoft announced a third-quarter profit dip of 32%, Ballmer said that the integration of the two companies would prove to be quite difficult given "a lot of overlap."

At an industry event in Germany, Ballmer even more emphatically stated, "I have said many times that we no longer are interested in acquiring Yahoo, but we'd see the potential to create real value by partnering with Yahoo."

Ballmer claims that when the time is finally right, he will be willing to discuss the subject, but refuses to disclose when that time will come. 

Though Both companies are disinclined to comment on the subject at this time, technology blog, All Things Digital, reported that the chief executives of each respective company had met to discuss the potential partnering of the Internet search and advertising operations this month.

Image Courtesy UPI


On the Net: