Report: Ballmer still interested in Yahoo search

Microsoft's CEO Steve Ballmer reiterated his interest in landing a search deal with Yahoo during a midyear strategic update with analysts Tuesday, according to a CNBC report.

But while Ballmer is apparently willing to re-engage in a dialogue with Yahoo regarding a potential search deal, the software giant has been "rebuffed and ignored" by Yahoo's new CEO, Carol Bartz, on any overtures it has made to initiate discussions, said a CNBC reporter, citing anonymous sources.

Yahoo was up 5 percent to $12.57 a share in pre-market trading.

Yahoo, meanwhile, apparently is operating without a top M&A executive, following the departure of Gerald Horkan, the company's senior vice president of corporate strategy, according to a report in The Wall Street Journal.

Horkan, who spent most of last year as Yahoo's dealmaker in Microsoft's failed bid to acquire the search company for as much as $33 a share, left Yahoo a few weeks ago and has not been replaced, the Journal reports.

[shootthecops]

lol, microsoft never ceases to amaze me. first they kick yahoo in the ribs by messing up the google deal, then they backpedal on their offer to buy yahoo. if m$ ends up buying yahoo and they go bankrupt from it, i'm sure they'll get any bailout they request, why not? people with morals don't buy windows, they pirate it.

[rapier1]

They're not talking about buying yahoo but working out a search deal. The first is an ownership situation the second is just licensing technology/content.

[shootthecops]

i'm aware of that, the deal has already been turned down by yahoo before. i wonder why? maybe because microsoft was the cause of yahoo's stock price plummet in the first place!

[Vegaman_Dan]

Shootthecops:

First off, that is a highly offensive username you have chosen there and not one I think anyone really appreciates- I could be wrong, but anyone who promotes the killing of officers in their own username just lost all respect with me. Maybe you intended it to be a joke, but as a person who has done his time patrolling the streets with a department and helping citizens in public safety concerns, I'm not laughing.

Second, it is clear that Yahoo is poisoned property at this time. With their new CEO that should hopefully change for them, but right now it's a bad time for Yahoo. MSFT was pretty obvious they were only interested in the search business and if a partnership makes more financial sense over buying Yahoo entirely, then that may be the way they want to go.

[TheSmellyMoa]

MSFT's strategy is clear. Disrupt the company, provoke investor law suits, drive down the price and pick up what they need at the fire sale. Ballmer knew an old Loti would not sell. Yang should have sold and told the engineers to brick the server farms on their way out. Even then, everyone knows the second MSFT take control of any Yahoo! property, anyone who can will run straight for the windows.