Microsoft + Yahoo = Love?

Microsoft has pounced on slumping Internet icon Yahoo with an unsolicited takeover offer of $44.6 billion, seeking to join forces against Google in what would be the biggest Internet deal since the Time Warner-AOL merger in 2001.

The surprise offer of $31 per share, made late Thursday and announced Friday, seizes on Yahoo’s weakness while Microsoft tries to muscle up in a high-stakes battle with Google likely to define the technology landscape for years to come.

Yahoo said it will ‘carefully and promptly’ study Microsoft’s bid.

Source

UPDATE: Reports are that Yahoo’s board will turn down the takeover offer from Microsoft as Yahoo share prices rise. Well duh!