Yahoo opposes Microsoft in race for AOL
Rumors that both Microsoft and a Google/Comcast alliance are in pursuit of a slice of AOL have been around for a while. Now it seems Yahoo is flexing its considerable muscle to take a piece of the action. Both Yahoo and AOL have denied the reports.
Jupiter Research analyst, Gary Stein, believes, “It does certainly seem like everyone is interested in AOL these days, particularly because of its traffic. There is no clear indication that AOL is even looking to sell, but now, all of a sudden, they are the most popular girl at the dance.”
ZDNet reports, “AOL recently had a makeover and a huge shift in its business model when it opened up its formerly walled-off content to the Internet at large and launched a new AOL.com portal. The move was designed to help grab some of the free-flowing online ad dollars going toward Google and other search rivals.”
Rob Enderle claims that all three bids, by Microsoft, Google and now Yahoo, are defensive moves against the others. “Microsoft probably has the strongest synergy with AOL, because MSN was designed on the AOL model,” he said.
[From ZDNet]
Update: Yahoo News reports : “The discussions were described as preliminary and not as advanced as separate talks AOL parent Time Warner Inc. has had with Microsoft Corp. and Google Inc., which is considering a joint bid with Comcast Corp.”
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POSTED IN: Corporate News, Speculation
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