Report: Google holds meeting on revived Microsoft-Yahoo deal

Renewed talks come amid Carl Icahn's move to oust Yahoo's board of directors

Executives of Google held an emergency meeting this week to discuss the implications of revived talks between Microsoft and Yahoo, according to a report in The Times in the UK.

Over the weekend, Microsoft said it might be interested in buying part of Yahoo, but not all of it.

For the past month or so, Google has been in talks with Yahoo to extend a two-week test whereby Yahoo would deliver Web advertising from Google alongside its own search results. According to various reports, that deal could be solidified this week.

Google and Yahoo could not be reached for comment at deadline. Microsoft declined comment

Speaking at the Google Zeitgeist conference in Hertfordshire, which was hosted by Google founders Larry Page and Sergey Brin, the company CEO Eric Schmidt said, "After this press conference, the three of us will meet and decide what our response is," according to The Times.

The renewed talks between Microsoft and Yahoo come as billionaire investor Carl Icahn gears up to launch a proxy fight to replace Yahoo's board of directors. Icahn and other investors are angry that Yahoo snubbed Microsoft's initial offer to purchase the company for US$44.6 billion.

In addition, according to The Times, Brin said Monday that he would give Yahoo's CEO, Jerry Yang, "refuge within Google" if he were forced out of the company. Brin also said Google had not yet ruled out a deal with Yahoo, The Times said.

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Linda Rosencrance

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