A match made in heaven? Far from it methinks. It seems that Microsoft are admitting that live.com has been a significant disaster for them and are looking to do what they do best – buy better technology. If you look back over the years, many of Microsoft’s flagship products were acquisitions rather than creations of their own.

One has to wonder though, whether they would allow Yahoo engineers to ‘take the reigns’ or whether they would expect to have their engineers ‘tweak’ Yahoo. Only time will tell. Obviously there are two main choices … amalgamate Yahoo with live.com or continue both as separate entities but share ideas and research in the ‘back room’. One thing is for certain though … regardless of what their collective minds come up with, they have little hope of taking a significant piece of the search pie.