Google earnings surprise may give Yahoo leverage
By Ocean on Apr 19, 2008 in Uncategorized
NEW YORK (Reuters) - An earnings windfall for Google Inc should benefit rival Yahoo Inc in buyout talks with Microsoft Corp, as investors view the results as proof of a robust online advertising market.
Yahoo is entering a critical week as it prepares to report quarterly results on Tuesday and faces a Microsoft-imposed deadline to accept the nearly $43 billion offer.
The software maker has cast doubt on whether Yahoo is even worth that much with a weakening U.S. economy and general slowness in the ad industry. Google’s strong showing could help its rival Yahoo stand firm on a higher takeover price on hopes Web marketing is more durable in a downturn.
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