PhoneCardSmile.Com Logo
E-mail: Password:
Welcome to PhoneCardSmile.com
Yahoo Phone Card News, Yahoo Telecom News
Yahoo explores alliance with News Corp

Date: 2/14/2008 4:05:49 PM

hopes media conglomerate News Corp. can rescue it from a Microsoft Corp. takeover — or at least prove the slumping Internet pioneer is worth more money than its unsolicited suitor wants to pay.

A News Corp. partnership could provide Yahoo with the escape hatch that the Sunnyvalebased company has been seeking since Microsoft pounced with its takeover bid two weeks ago.

If nothing else, the possibility of Yahoo joining forces with one of the worlds largest media empires could prompt Microsoft to sweeten its bid, which was originally valued at $44.6 billion, or $31 per share.

Yahoo is believed to want at least $40 per share, or about $56 billion.

The details of the proposed News Corp. alliance were still being worked out Wednesday, according to a person familiar with the situation. The person didnt want to be identified because the talks are considered confidential.

Most analysts believe Microsoft will do whatever necessary to buy Yahoo because the worlds largest software maker views the acquisition as the best way to counteract Google Inc.s dominance of the online search and ad markets — a battleground that is rapidly reshaping the technology and media industries.

Buying Yahoo makes tremendous sense for Microsoft, more sense than any other company in the world, said Ken Marlin, a New York investment banker specializing in media and technology deals.

Both The Wall Street Journal and a prominent blog, TechCrunch, reported that News Corp. is interested in folding its popular online social network, MySpace.com, and other Internet assets into Yahoo — an idea that first came up last year. News Corp. owns The Wall Street Journal.

News Corp. and a private equity firm reportedly would buy significant stakes in Yahoo as part of a complex deal designed to push the Sunnyvalebased companys market value toward $50 billion.

A Yahoo spokesman said the company continues to carefully and thoroughly evaluate alternatives that will enrich its longterm shareholders. Yahoos board reportedly is to meet again Thursday or Friday to consider the companys next move.

News Corp. spokeswoman Teri Everett declined to comment on the Yahoo talks.

Yahoo shares climbed 31 cents to $29.88 Wednesday while Microsoft shares gained 62 cents to $28.96 News Corp. shares slipped 10 cents to finish at $19.93.

Based on Microsofts current market value, its cashandstock bid for Yahoo now stands at $29.50 per share, or about $41 billion.

Yahoo rejected Microsofts offer Monday, saying it substantially undervalues assets that include one of the Internets biggest audiences and bestknown brands.

Microsoft has held firm so far, calling its original bid full and fair while threatening to launch a hostile takeover attempt.

Whats unclear now is whether Yahoo is just trying to get a higher offer or if the company really doesnt want to sell to Microsoft, said Peter Falvey, a technology investment banker with Revolution Partners.

Although News Corp. Chairman Rupert Murdoch unequivocally said during a conference call last week that his New Yorkbased company isnt interested in an outright acquisition of Yahoo, he didnt rule out the possibility of a deal involving MySpace.

When asked whether he might renew the previous discussions with Yahoo about a MySpace alliance, Murdoch replied: I think that day has passed, but you never know.

A News Corp. stake in Yahoo might hinge on whether the two sides can agree on how much MySpace is worth.

News Corp., which also owns the Fox television and movie studios in addition to its newspaper and Internet holdings, bought MySpace for $580 million in 2005. But the social networks value has soared as its audience has swelled above 100 million users, creating a potential advertising gold mine.

Ironically, Murdoch and his lieutenants can point to a recent Microsoft deal to make a case that MySpace is worth more than $15 billion.

Facebook Inc., which owns the Internets second largest social network behind MySpace, now arguably has a $15 billion market value, based on Microsofts purchase late last year of a 1.6 percent stake for $240 million.

Despite its popularity, MySpace hasnt established itself as an effective advertising vehicle. Google last month cited lackluster returns from its ad partnerships with MySpace and other social networks as one of its few disappointments during the fourth quarter.

Besides talking with News Corp., Yahoo also reportedly has explored an advertising partnership with Google, its biggest rival. Although Google probably could help elevate Yahoos drooping profits, the alliance would likely face antitrust hurdles because the companies operate the Webs two biggest ad networks and eliminating one would reduce competition.

Reports of a possible merger with Time Warner Inc.s AOL appear to be more rumor than fact, said the person familiar with News Corp. negotiations.

** Check out our Yahoo Calling Card
Tag Clouds: Prepaid Calling Cards, Online Calling Cards, Domestic Phone Cards

PhoneCardsmile.com  Phone Card News Stats

Source: http://news.yahoo.com/s/ap/microsoft_yahoo


<-- Back

International Phone Card Search

Calling From United States to:
Search
Phone Card Name (Optional):
Search
Provide Local Access in
Search

Navigation Links:


Live Help!

My Rewards Program






Secured and Verified by:
About SSL Certificates
HACKER SAFE certified sites prevent over 99.9% of hacker crime.
Discover, Master, Visa, American Express
Your current IP is: 54.205.236.46

Phone Card Rates
Brazil Phone Card, Brazil Calling Card Flag   Brazil 0.2¢ Canada Phone Card, Canada Calling Card Flag   Canada 0.1¢
China Phone Card, China Calling Card Flag   China 0.1¢ Egypt Phone Card, Egypt Calling Card Flag   Egypt 3.1¢
France Phone Card, France Calling Card Flag   France 0.1¢ Germany phone card, Germany calling card flag   Germany 0.1¢
Iraq Phone Card, Iraq Calling Card Flag   Iraq 1.0¢ india phone card, india calling card flag   India 0.1¢
italy phone card, italy calling card flag   Italy 0.1¢ Japan Phone Card, Japan Calling Card Flag   Japan 0.3¢
Korea South Phone Card, Korea South Calling Card Flag   S. Korea 0.1¢ Mexico Phone Card, Mexico Calling Card Flag   Mexico 0.4¢
Nigeria Phone Card, Nigeria Calling Card Flag   Nigeria 2.7¢ Philippines Phone Card, Philippines Calling Card Flag   Philippines 4.6¢
Russia Phone Card, Russia Calling Card Flag   Russia 0.3¢ Taiwan Phone card, Taiwan Calling Card Flag   Taiwan 0.1¢
South Africa Phone Card, South Africa Calling Card Flag   S. Africa 0.9¢ USA Phone card, USA Calling Card Flag   USA 0.3¢
UK Phone Card, United Kingdom Calling Card Flag   UK 0.1¢ USA Phone card, USA Calling Card Flag   Vietnam 0.8¢
 
Phone Card News
 





















More News...