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Google fears Microsoft-Yahoo! deal will harm the internet

The CEO of Google says the tie-up will not "be consistent with the openness of the Internet"

Dominant search engine Google is concerned the free flow of information online will suffer if Microsoft succeeds in its attempt to acquire second place search provider Yahoo.

Talking of the influence a combined company could have, Google Chief Executive Eric Schmidt said: 鈥淲e would hope that anything they did would be consistent with the openness of the Internet, but I doubt it would be.鈥

He added: 鈥淲e are concerned that there are things Microsoft could do that would be bad for the Internet,鈥 citing unspecified 鈥渢hings that it has done that have been so difficult for everyone.鈥

Last Gasp

Microsoft Chief Executive Steve Ballmer pledged earlier this month that his company would gain market share against Google in online advertising and Web searching, even if led to his 鈥渓ast breath鈥 at the company.

Microsoft is currently in negotiations with Yahoo鈥檚 board after its original offer of $44.6 billion was rejected as too low.

In a Reuters poll of financial analysts, the overwhelming majority said they believed Microsoft would eventually succeed in buying Yahoo, but many said they felt it may not be the best use of its ample cash reserves.