Confirming what Yahoo have already said!

Comments made by Bill Gates in a TV interview would suggest that the deal is dead in the eyes of both Yahoo and Microsoft.

The acquisition question was put to Bill Gates by Tom Brokaw of the NBC network on Friday to mark his last day of full-time work at the software company.

Brokaw asked Gates: “Do you think in a year from now, when you’re down at the [Bill & Melinda Gates] Foundation offices, you’ll look up at Microsoft and see Yahoo as a permanent wing of Microsoft? Do you think the deal will get done? ”

Gates responded: “No, I don’t think so. But there are plenty of decisions ahead that Steve [Ballmer] will get to make about what he invests in, R&D, and what kind of deals he does.

“I don’t think that one’s likely but there are plenty of others that will get done and I’ll look on with great respect.”

Microsoft recently abandoned a $47.5 billion takeover deal after lengthy discussions with Yahoo who were pushing for a higher price per share. More recently, Microsoft had considered buying a 16 per cent stake in Yahoo. This would allow MS to effectively buy the Yahoo search business thereby giving Microsoft a much greater share of the search market and advertising revenues.

Bill Gates depature from Microsoft will allow him to devote most of his time to his philanthropic ventures.

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