Yahoo-Microsoft tie-up may challenge Google

The activist investor Carl Icahn this weekend turned up the heat on Yahoo as the internet company closes in on an advertising alliance with Microsoft.Talks have resumed between the pair over a deal that would help them to compete with Google, the world’s biggest search engine.Under the latest discussions, Microsoft would run Yahoo’s search engine, while Yahoo would handle online advertising for Microsoft. Analysts believe a tie-up could be announced this week, when both companies are due to release quarterly results.
http://business.timesonline.co.uk/tol/business/industry_sectors/technology/article6719055.ece

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