Outsourcing: The Search Edition

February 11, 2008 RSS Feed Print
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If Yahoo! is serious about staying independent, it could outsource its search business to Google in order make that happen, according to Citigroup analyst Mark Mahaney. He puts the odds of such an agreement at 25 percent—higher than the odds of Yahoo! accepting Microsoft's initial $44.6 billion bid, which it rejected Monday. Still, Mahaney and others say Yahoo!'s falling pre-offer stock price and dwindling share of the search market mean Microsoft's offer remains likely to go through, though the horse trading between the two could go on for weeks.

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Yahoo,
outsourcing,
Google,
Microsoft

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Katy Marquardt came to U.S. News from Kiplinger's Personal Finance magazine, where she profiled rising stars in the mutual-fund world and wrote about investing in stocks and racehorses. Katy hails from Abilene, Texas, and graduated from the University of Texas-Austin.

Kirk Shinkle is a senior editor at U.S. News. Formerly, he covered business and economics on both coasts for Investor's Business Daily. A native of the Montana-Texas corridor, he currently resides in the wilds of west Brooklyn. His checkered online evolution looks like this: Friendster, still (!). MySpace, no. Facebook, yes. He blogs here, Twitters occasionally, and has yet to Tumblr.

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