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Microsoft's $44.6 billion bid for Yahoo on Friday revived debate about AOL's plan to remake itself as an online advertising company and whether it might too become a target for acquisition.
AOL has been on a tear assembling an advertising network called Platform A that is meant to be the basis for the company's future growth. At the same time, discussions have surfaced occasionally at AOL's corporate parent, Time Warner, over whether the subsidiary should be spun out in part or whole.
AOL Plans In The Spotlight [washingtonpost.com]
If MS manages to obtain a controling margin at yahoo the gap between Google and Microsoft will rocket away from the rest of the pack.
I think this will make the search market a lot more harsh for all but the top tier search engines.
If AOL is to survive even in its current state they will need to pull off something very special.