Google-Yahoo deal in jeopardy

By Yi-Wyn Yen

Some new bad news for Yahoo. Ten days after the troubled web portal announced it will lay off 1,500 employees, the Wall Street Journal reported Thursday that Yahoo's deal with Google is on shaky ground.

The Journal said that both Google (GOOG) and Yahoo (YHOO) may walk away from the ad search agreement next week because the Justice Department has been moving toward a suit to block the deal. MORE

Microsoft's cautious outlook

By Yi-Wyn Yen

It's hard to believe that just four months ago Microsoft dangled a nearly $48 billion bid in front of Yahoo.

A souring U.S. economy has changed all that. During Microsoft's earnings call with investors Thursday, chief financial officer Chris Liddell made no mention of the Internet portal or any other potential big acquisitions. The company reported a solid first fiscal quarter, with revenues increasing 9% to $15.06 billion from MORE

At Yahoo, job cuts are the good news

By Yi-Wyn Yen

You know it's a bad quarter when the most encouraging news you offer is job cuts.

During Yahoo's third quarter earnings call Tuesday, chief executive Jerry Yang made an unconvincing argument that the company is "well positioned for future growth." Yahoo reported net sales and earnings for the third quarter that fell well below the Street's consensus.

And Yahoo (YHOO) is bracing itself for a bleak fourth quarter. The company adjusted MORE

Google gets frugal and profits soar

By Yi-Wyn Yen

Meet Google 2.0. Gone are the search giant's free-spending ways - at least for now. The prospect of a severe economic slowdown has forced Google to do something surprising: act fiscally responsible.

The company toned down costly expenses like data centers and new hires and reported profits Thursday of $1.35 billion for the third quarter, up 26% from a year ago. Earnings per share were $4.92, which crushed Street MORE

Microsoft loves Yahoo, Microsoft hates Yahoo

By Yi-Wyn Yen

Microsoft needs to get its story straight.

Microsoft CEO Steve Ballmer told attendees at a tech research conference in Orlando on Thursday that a deal with Yahoo (YHOO) "makes sense for their shareholders and ours."

But within an hour of the news, Microsoft (MSFT)  spokesman Frank Shaw issued an statement to retract Ballmer's comments. "Our position hasn't changed. Microsoft has no interest in acquiring Yahoo!; there are no discussions between the companies," MORE

No merry Christmas for eBay

By Yi-Wyn Yen

Santa Claus won't be coming to eBay this year. The online auction giant reported quarterly sales and profits late Wednesday that met expectations, but gave such a dismal outlook for the holiday season that one analyst suggested Christmas had been cancelled.

eBay reported third-quarter profits of 46 cents a share, or 12% higher than the same period a year ago. Revenues came to $2.12 billion, up $229 million, or 19%, from last year thanks MORE

No slowdown for Wii and DS, says Nintendo prez

Ubisoft's Rayman Raving Rabbids TV Party will be one of 130 new games for the Wii this holiday. Courtesy of Nintendo

By Yi-Wyn Yen

How hot is the Nintendo Wii? Even with the U.S. economy in meltdown, Nintendo may still struggle to meet demand for the third straight holiday season.

Nintendo is aggressively ramping up shipments of its popular video game consoles to avoid the shortage it faced last December. The company will MORE

Microsoft's frequent searcher program

By Yi-Wyn Yen

How desperate is Microsoft to compete with Google in search? The software behemoth is now giving away prizes every time you use its Live Search engine.

Microsoft (MSFT) launched the rewards promotion called SearchPerks on Wednesday to lure Internet users away from Google. SearchPerks, which runs through April 15, is similar to airlines' frequent flyer programs. Every time you use Live Search you earn points that can be redeemed MORE

Analyst: Feds will limit Google-Yahoo pact

By Yi-Wyn Yen

The Google-Yahoo search advertising pact will get approval from the Department of Justice in the next few weeks, but not without some serious scaling back of the deal, according to one analyst.

Thomas Weisel Partners managing director Christa Quarles expects the Justice Department to put limits on how often Yahoo will be allowed to run Google's (GOOG) ads on Yahoo's web properties. Yahoo's revenue-sharing agreement gives the Internet portal flexibility on MORE

Microsoft sweetens its pay-to-search deal

By Yi-Wyn Yen

It's been four months since Microsoft introduced its cashback rebate scheme that pays people to use its Internet search service. But Microsoft continues to fall behind Google in search.

On Wednesday, Microsoft (MSFT) plans to unveil a new rewards program to get more consumers searching on the company's Live Search engine. While a company spokesperson would not discuss details of the latest rewards gimmick, a Microsoft executive says the MORE