Microsoft could buy Yahoo's search advertising business, although discussions have broken down before

In less than a week, Microsoft could reach an alliance with Yahoo that could compete better with Google in online search advertising, according to media reports.

Microsoft has been courting Yahoo on and off since February 2008, when it offered to buy the company for $44.6 billion in cash and shares. The offer was rejected and consequent discussions focused on Microsoft taking over Yahoo's search and advertising businesses.

More: http://infoworld.com/t/search/reports-microsoft-and-yahoo-close-search-ad-deal-698