Yahoo! Inc. shares have dropped 29 percent in the last 12 months. Other companies are aware of Yahoo’s state and is preparing to put up their bids to acquire the company or merge as one. As AT&T Inc., Verizon Communications Inc. and others eyeball the opportunity, Time Inc. is also ready to strike a deal. Time Inc., formerly known as Time Warner Inc. just two years ago, is the leader in print publications. It’s massive catalog – Time, Sports Illustrated, People, and Fortune – is declining in print sales. Yahoo’s digital reach of 1 billion users could help Time, Inc. capitalize off of the readers that prefer their news read online. Time Inc. is interested in Yahoo’s core business. The company is also looking to increase their advertising revenue. Time Inc. stated that they will be purchasing Viant Technology Inc., the owner of Myspace, to tap into the targeted advertising platform. Advertising online is of great need as huge declines in print advertising are felt. Time Inc. merger with Yahoo is dependent on the cash bid and what makes sense. But, a larger company like AT&T can easily knock out Time Inc’s bid. Source: Bloomberg
