Stop us if you've heard this one before, but Microsoft is reportedly considering a bid for Yahoo.
"Microsoft joins a host of other companies looking at Yahoo, which has a market
value of about $20 billion and is readying financial pitch books for potential buyers," Reuters reports, citing sources.
Microsoft, however, is unique in that it already engaged in what Reuters calls "a bitter and unsuccessful fight" for Yahoo
back in 2008. The Next Web wonders why, after using
some creative arithmetic to conclude that Microsoft saved itself billions by not picking up Yahoo on its first try.
AllThingsD's Kara Swisher, meanwhile, calls Reuters'
"thinly sourced and carefully worded" report "ridonkulous." According to her sources, "throughout this entire process Microsoft execs have taken pains to make it
clear that they are not going to be among the bidders in any significant manner."
"Microsoft Corp. isn't anywhere close to making an offer for Yahoo Inc. and senior executives
of the software maker aren't involved in discussions," Bloomberg reports, citing two sources.
"If Redmond did take over Yahoo, the deal
could provide a boost for the Bing search business, potentially giving Microsoft around 30 per cent of the search market," The Register notes. "This could however attract the interest of the
regulators, and it seems possible Microsoft would have to sell off part of the company to satisfy competitive concerns."
Notes Reuter: "One camp inside Microsoft is hot for the
deal, believing that it would obliterate AOL Inc as a competitor and create a strong Web portal." Yet, "Another camp is against the deal, feeling that if Microsoft is going to invest
billions of dollars in an acquisition it should be one that has more growth potential."