First Microsoft wanted Yahoo, but Yahoo’s board didn’t want Microsoft. After the rejection, Yahoo expressed interested in a Google alliance, but sources close to Google say that the company isn’t interested in being partners with Yahoo anymore. Google just wants Microsoft and Yahoo to leave it and each other alone.

Microsoft is trying to force itself on Yahoo by bringing its bid directly to stockholders in an unsolicited buyout offer, in a hostile takeover attempt. To beat off Microsoft’s ardent advances, Yahoo’s board hoped to establish a possible advertising alliance with rival Google. However, inside sources now say that despite some minor initial interest, Google is unlikely to pursue a pact with Yahoo.

While Google refused to public comment on the issue, sources say that it is concerned that a possible pact would attract antitrust scrutiny in the U.S. and abroad, and thus its not interested anymore. Another unsaid factor may be that Google does not want to associate itself with sinking Yahoo, which is laying off hundreds of workers, while promising desparately to enact “big changes.” In a way Google doesn’t need an alliance with Yahoo to get its share of advertising — its already getting it, piece by piece each month.

Source: DailyTech

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