News Corp: "Not going to get into a fight with Microsoft" over Yahoo

Yahoo's chances of eluding a Microsoft aquisition dimmed today after comments by Rupert Murdock, chief of News Corp who said:

We're not going to get into a fight with Microsoft, which has a lot more money than us,"

Yahoo has been working very hard to avoid a Microsoft takeover, with CEO Jerry Yang stating in a recent letter to shareholders that Yahoo feels the Microsoft offer substantially undervalues Yahoo. However many market watchers see the takeover as very likely, either by eventual capitulation of the current Yahoo board or by their replacement in a proxy battle that Microsoft seems likely to win.

Today's statement from News Corp is another nail in the CEO coffin that Microsoft appears to be building for Yang and at least some of the current Yahoo board members.

Disclosure: Long on Yahoo