Google Against Microsoft bid for Yahoo

In an unusually aggressive effort to prevent Microsoft from moving forward with its $44.6 billion bid for Yahoo, Google emerged over the weekend with plans to play the role of spoiler, notifies CNet News.

Google publicly announced that Microsoft`s offer to buy Yahoo! was hostile and suggested a pairing that would pose threats to competition that should be examined by policy makers around the world.

Google CEO, Eric Schmidt, called Yahoo's CEO, Jerry Yang, to offer him the company's help, most probably in the form of a partnership between the companies, to avert Microsoft, people briefed on the call said.

Yet, Google's lobbyists in Washington have begun plotting how it might present a case against the transaction to lawmakers, people briefed on the company's plans said. Google could benefit by simply prolonging a regulatory review until after the next president takes office.

In addition, several Google executives tried to ally to companies like Time Warner, which owns AOL, inquiring them whether they planned to pursue a rival offer and how they could assist, these people said. Google owns 5 percent of AOL.

"Despite Google's efforts and the work of Yahoo's own bankers over the weekend to garner interest in a bid to rival Microsoft's, one did not seem likely, at least at this early stage," concludes CNet News.