BillyS - 7:06 pm on Jan 20, 2008 (gmt 0)

Even if the rumor was true, I'd think Yahoo would outsource to Google - for a couple of reasons:

1 - Live.com is clearly still struggling with even the basics like 301s.
2 - MSN and Y! compete heavily in the portal space, while Google does not.
3 - Live would viewed as a step back for Y! while Google would be perceived as an improvement.

I have to admit, that it would be a shame for Y! to give up.