The rift between Microsoft and Yahoo leaves the online advertising market wide open to Google’s expansion. What’s more, it puts Google in the coveted position of deciding the fate of its closest rival, analysts said.
Microsoft withdrew a $47.5 billion offer for Yahoo on Saturday after the Internet company dug in for a higher price. Yahoo investors see only two viable options — returning to negotiations or letting Google serve up some of its search listings since it makes more money off the ads.
With Microsoft holding firm for now, that leaves Google in the driver’s seat when it comes to determining Yahoo’s fate. Google and Yahoo are still working out the details of a potential search deal.
