Google and Yahoo may announce a partnership this afternoon at 4:30pm EST / 1:30pm PST. At least, that's the rumor coming from TechCrunch. Of course, this is the same rumor that the Wall St. Journal published on May 2, 2008.
There's no question a Google-Yahoo partnership would throw a wrench into Microsoft's merger plans to create MicroHoo. Billionaire investor Carl Icahn's efforts to oust the current Yahoo management would also be derailed.
We're skeptical there's a billion dollars in cost savings through a Google-Yahoo search partnership. In the short term, it's a Yahoo win.
In the long term, a search partnership would turn Yahoo into just another portal.
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