SUNNYVALE, Calif. — Rupert Murdoch’s News Corp. is in talks with Microsoft about joining in its contested bid for Yahoo, according to people involved in the discussions. The plan to combine Yahoo, Microsoft’s MSN and News Corp.’s MySpace would create a behemoth that would upend the Internet landscape.
The talks are a surprising twist in the two-month takeover story that began when Microsoft made a $44.6 billion bid for Yahoo. Yahoo has has been in a desperate search for white knights, holding conversations with AOL and News Corp.
Also Wednesday, Yahoo suggested it was willing to try outsourcing a small portion of its search advertising to rival Google in a limited, two-week test to determine whether the company could increase revenues using Google’s more lucrative search advertising system. The New York Times
