Sunday's Wall St Journal reported that AOL has hired a consulting team to look at options for a possible "tie-up" with Yahoo Inc. This is the second time that rumours have surfaced on this type of buyout.

I am kind of surprised by this, both AOL and Yahoo have been losing a lot of ground to their rivals. I wonder if this type of deal could be the start of a strong new competitor. After being spun off from Time Warner last Dec, AOL hired an ex-Google exec to try to lead it back to good times. Maybe that Google influence will result in something really good if they can get their hands on Yahoo.