CNET NEWS - Nov 18 - Yahoo CEO Marissa Mayer and Facebook COO Sheryl Sandberg have been talking about the two companies working together on a search engine. Mayer and Sandberg are former colleagues at Google, and understand what search can do to super-charge a business. Mayer is looking for ways to revive Yahoo's products and engineering focus since she took the CEO job in July. The two companies recently resolved their patent spat and Yahoo just prior to Mayer coming on board, and Yahoo was an early to integrate with Facebook Connect. Currently, Yahoo outsources its search to Microsoft. That deal hasn't gone so well financially, and Yahoo may exit the deal next year. The door could be open for a Yahoo-Facebook alliance, but it could take years to create a competitive search engine. It may be that Microsoft is not totally out of the picture.
by Dan Farber
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