Microsoft-Yahoo Deal Rumors

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The New York Post is reporting that Microsoft is pursuing a merger with Yahoo, and has requested formal talks to discuss a deal. These rumors have circulated before, but the market seems to be taking the report seriously. Shares of Yahoo soared 17 percent in early trading.

The implications of a Microsoft-Yahoo combination are huge, and any deal would reportedly be in the $50 billion range. Yahoo’s data center network includes more than 20 facilities, and any combination with Microsoft’s infrastructure would be a significant component of a joint strategy to take on Google, which makes no secret of its belief that its data centers provide a competitive advantage.

Is it for real, or just the rumor mill run rampant? Time will tell.

About the Author

Rich Miller is the founder and editor at large of Data Center Knowledge, and has been reporting on the data center sector since 2000. He has tracked the growing impact of high-density computing on the power and cooling of data centers, and the resulting push for improved energy efficiency in these facilities.