Rumors are swirling today that Microsoft may partner with Yahoo — specifically, the search company’s search advertising business, which matches Internet searches to targeted advertisements.
Lesson: If at first you don’t succeed, just make a deal with the most valuable part of Yahoo and leave the rest to wither and die. See Silicon Alley Insider, the Wall Street Journal and the New York Times for more details.
Yahoo CEO Jerry Yang may be willing to listen, if only to keep Mark Cuban off the Yahoo board. Yang developed a strong dislike for Cuban after the Broadcast.com founder years ago — Kara Swisher has more details in this different article.
Of course, Jerry has to keep his Yahoo employees and managers focused during all of this turmoil. Read his internal memos and some comments from Silicon Alley insider here.