Ok, now everyone is just getting silly. The media referred to a Microsoft-Yahoo! merger as "Microhoo," and now InformationWeek is talking about "Goohoo."

What is Goohoo? One of the reasons Microsoft recently dropped their bid to acquire Yahoo! is because Yahoo! ran some limited tests to see if using Google ads would boost their profit margin. It does, but it also sticks the two companies between a rock and a hard place.

Google needs Yahoo! to remain strong and independent as a foil to Microsoft. Using Google ads will boost Yahoo!'s profit margin, but it will also attract a lot of regulatory scrutiny. However, if Google walks away at this point, Yahoo! would be forced back to the negotiating table with Microsoft.

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