It looks like News Corp. won't be Yahoo's knight in shining armor, after all.
News Corp. does not plan on fighting Microsoft over Yahoo, Rupert Murdoch told investors at the annual Bear Stearns media conference.
"We're not going to get into a fight with Microsoft, which has a lot more money than us," Reuters reported.
Yahoo has snubbed Microsoft's unsolicited $41.4 billion takeover bid as undervalued. To thwart Microsoft, Yahoo had been talking to News Corp. about possibly combining MySpace.com and Yahoo, according to reports.