News Corporation + Yahoo = Perfect Combination?

According to various recent news articles across the web, Microsoft may be intent on gaining control of Yahoo through a proxy battle after Yahoo rejected their unsolicited buy-out offer. Apparently, News Corporation wouldn't mind a shot at Yahoo either. News Corp., of course, owns Fox, MySpace, IGN, and part of Hulu.com. We know that web video has been a focus for the company in the past few years with MySpace being a popular video sharing destination and more recently the launch of Hulu.com which features online video episodes of popular FOX television shows.

In fact, this makes a great deal of sense when you consider the wealth traffic that Yahoo brings to the table plus the social media brand and massive video content that News Corp brings. This could be a perfect combination that is poised to capitalize on the incredible opportunity and growth with online video.

According to Nielsen Online, in December, Yahoo delivered 372 million video streams; Fox Interactive delivered 364 million; and Microsoft/MSN? Wait for it....... only 112 million streams.

Certainly a deal with Yahoo would offer News Corp greater flexibility for leveraging and delivering its various video assets to to many more consumers worldwide.

What do you think?

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