Is News Corp. Interested In Yahoo?


The drama surrounding Yahoo’s spurning of Microsoft’s $44.6-billion takeover bid is beginning to reach operatic heights. The Washington Post reported yesterday that the global internet company reached out to AOL. Today, CNBC’s blog Tech Talk weighs in on the speculation that Rupert Murdoch might be interested in the increasingly attractive company. From CNBC’s Tech Check with Jim Goldman:

”On the surface, it makes sense since Microsoft ripped a page from the News Corp. playbook by offering such a massive premium to scare away other potential bidders; what Murdoch did with Dow Jones.

”But that’s just the point: News Corp. is busy trying to integrate that multi-billion dollar property into the News Corp. fold. It was a deal many thought Murdoch was over-extending himself to close. And that’s a deal 10 times SMALLER than a play for Yahoo would be.

”Most analysts I’m talking to dismissed this speculation as it began to circulate days after the Microsoft bid first made headlines. No way, they say, that News Corp. could cobble together the funding. And no way they’d do a deal this big so close to the Dow Jones deal.”

Yesterday, Yahoo, in a return to business-as usual, acquired online video advertising company Maven Networks Inc. for about $160 million.

(image via foreignpolicy)