Microsoft still fawning over Yahoo

THE VOLE has issued another billet-doux regarding its on-off relationship with search engine has-been Yahoo.

Microsoft apparently still wants to date and hook up with Yahoo, but, according to a press release typed with sweaty paws, the maker of usable office software and decrepit operating systems is considering an alternative that would involve a transaction with Yahoo but not an acquisition of all of Yahoo.

Microsoft further clarified it doesn't want to swallow Yahoo hook, line and sinker, but merely wants to spend less cash by simply acquiring shares from either Yahoo itself or third parties holding the odd few percent of Yahoo.

But this will be an open relationship and Microsoft stressed that it had no plans to extend its burrow, as "there of course can be no assurance that any transaction will result from these discussions".

The renewed interest in Yahoo came days after Carl Icahn thought it would be a spiffing idea to invest in the company after the shares took a beating when Microsoft withdrew its offer of $33 per share, which already included a hefty premium.

The nifty investor has bought shares worth $1.6 billion in the last two weeks. Icahn seems to believe that he can make a profit out of Yahoo by forcing it to strike a deal with Microsoft, whilst Microsoft is currently trying to benefit from the added pressure weighing down on Yahoo's shoulders.

Consolidating Yahoo would be a tasty morsel for the Vole, which is lagging far behind market behemoth Google in terms of search engine usage and online advertising revenue.

Microsoft is, of course, still working out how to come to terms with the Internet, due to hibernating whilst the world wide wibble appeared. µ