InternetYahoo Could Nix AOL Plan, Gets Help Against Icahn

The Web portal may be able to turn to a deal with News Corp. to avoid a bidding war against Microsoft.

Source: Reuters While perennial combatants Yahoo and Microsoft are each showing interest in purchasing Time Warner's AOL unit, Yahoo may be able to bring other options to bear to expand its business while averting a bidding war. Yahoo's (NASDAQ: YHOO) management also received a vote of confidence today from a major shareholder, a move that could help the Web portal thwart attempts to oust its leaders during its upcoming shareholder meeting. The company, which is seeking to shape an independent growth strategy after rebuffing Microsoft's bid to take it over, has been discussing the terms of a potential deal to buy AOL. In such a transaction, Time Warner (NYSE: TWX) could take a minority stake in the combined company, sources have said. But if Microsoft (NASDAQ: MSFT) also steps in to buy AOL, Yahoo could avoid getting drawn into a bidding war by renewing talks to buy News Corp.'s Web properties, a person with knowledge of the plans said on Thursday. RELATED ARTICLES Yahoo Appeals for Investor Support Yahoo: Icahn's Agenda Is Risky Business AOL Intensifies Talks With Microsoft, Yahoo? Microsoft, Yahoo Square Off Before Senate Panel Proxy Battle? Yahoo Rejects Latest Microsoft, Icahn Deal Icahn Pushes, Again, to Put Yahoo Back in Play For more stories on this topic: The source said Yahoo has kept in contact with News Corp. (NYSE: NWS) since discussions earlier this year. However, discussions with... [ Read more on www.internetnews.com ]

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InternetiPhone 3G Shortage Could Last Into August (TechWeb)

TechWeb - InformationWeek - Saying Apple wasn't prepared for the demand, a Piper Jaffray analyst predicts iPhone 3G shortages for two to four weeks.