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Never Mind the Yahoo-MSN Rumor

Posted by Melanie Phung on Monday, May 15, 2006 at 9:21 am

iMedia Connection explains what those Microsoft-acquiring-part-of-Yahoo rumors were about:

Yahoo CEO Terry Semel told the Financial Times that his company declined Microsoft’s attempt to buy a stake in Yahoo.

The discussions between Yahoo and Microsoft took place during Microsoft’s use of Yahoo’s search technology, reported the Financial Times. Microsoft switched to Google Inc. as its search technology partner from Yahoo.

Semel told the paper that although Yahoo talked with Microsoft co-owning some of their search, the final decision was not to sell.

“I will not sell a piece of search– it is like selling your right arm while keeping your left; it does not make any sense,” Semel said at an event at Syracuse University.

Darn, that would have made things really interesting. On the other hand, Microsoft would have crushed the life and soul out of innovation (Resistance. Is. Futile.) and Yahoo is doing some pretty interesting things with social media (and doing them better) than Google.

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