News
Publisher Time reportedly drops out of running for struggling Internet company.
Verizon currently leads the race to acquire Yahoo, after several potential bidders dropped out of the running.
Sources cited by The Wall Street Journal over the weekend claimed that approximately 40 companies expressed interest in purchasing the Internet company, which is struggling to revive its fortunes and has bowed to investor pressure to sell its core Web business.
Of those 40 interested parties, only a few are still pushing ahead with bids.
According to Sunday’s report, publisher Time Inc, which recently acquired online marketing specialist and MySpace parent Viant, is one of those to have walked away on the grounds that it would be too difficult to turn Yahoo around.
The WSJ’s sources claim that Google parent Alphabet, cable giant Comcast, AT&T, and online media conglomerate IAC have also opted not to bid.
Yahoo would likely be a good strategic fit for Verizon given its portfolio of online news, entertainment and blogging platforms, as well as its online advertising business.
Verizon has been making aggressive moves into this space, acquiring AOL for US$4.4 billion, and most recently buying a 24.5% stake in online video company AwesomenessTV.
However, the WSJ’s sources allege that Verizon is not willing to break the bank to land Yahoo.
The telco is still trying to restore its credit rating, which took a hit when Verizon paid $130 billion for Vodafone’s 45% stake in Verizon Wireless.
