Microsoft breaks from NBC to launch own news portal

Software giant Microsoft has parted company with NBC News, pulling out of their joint venture MSNBC to launch its own online news service, the two companies announced.

Moving on "allows us to go out and innovate," Bob Visse, general manager of MSN.com, said, confirming that MSN.com had begun hiring for a new news operation -- as yet unnamed -- that will launch later this year.

"If you start thinking about what we're going to be doing in Windows and the Bing app and what we're going to be doing... across multiple platforms, it makes a lot of sense for Microsoft," he said.

"We're talking about using technology and using data to solve information delivery and news delivery in new and innovative ways. It's really difficult for us to do that when we have an exclusive, single-source relationship with one news provider."

Under the joint venture, NBC News had been the sole provider of news for MSN.com, which will now be free to forge partnerships with other media organizations.

NBC News said it would continue to provide news for MSN.com and would continue to sell the rebranded NBCNews.com's advertising inventory for an undisclosed period to minimize the disruption in ad revenue.

The deal means that NBC effectively buys Microsoft's 50 percent stake in the MSNBC. No details of the financial arrangement were provided.

Anyone opening up the MSNBC.com website is now automatically redirected to NBCNews.com.

Microsoft's move comes as other major Internet companies like Yahoo! and AOL have forged important alliances with news organizations.

Yahoo! teamed up with ABC News towards the end of last year to create a digital news powerhouse Yahoo! News, which is the top online news destination in the United States with some 80 million unique visitors a month.

Microsoft's move comes just days after it announced it was cutting an unspecified number of jobs in marketing and advertising as part of a move to "align" its operations to key priorities.

The tech giant gave no specific numbers or details, but also announced a writedown of $6.2 billion in its online operations.

Microsoft, which is soon to release its new Windows 8 operating system, said last week it would take the massive writedown related to the 2007 acquisition of aQuantive, a digital advertising firm aimed at helping Microsoft compete against Google and others.

The charge, to be reflected in the company's upcoming earnings report, is required under accounting rules to reflect a lower value or so-called "goodwill impairment."

Microsoft announced earlier this month that its next-generation operating system would be available in October as the software giant strives to stay relevant in a blossoming mobile era centered on tablets and smartphones.

"This will be the biggest product and services launch year in our company's history," Microsoft chief executive Steve Ballmer said at an annual gathering of gadget makers and other partners in the Canadian city of Toronto.

The Windows 8 operating system, which is the norm for personal computers, will also be used on many smartphones and tablet computers, including Microsoft's own Surface tablet to be launched this year.

Loading...

Editor’s note:Yahoo Philippines encourages responsible comments that add dimension to the discussion. No bashing or hate speech, please. You can express your opinion without slamming others or making derogatory remarks.

  • EU threatens Thailand with seafood ban over illegal fishing
    EU threatens Thailand with seafood ban over illegal fishing

    BRUSSELS (AP) — The European Union has given Thailand six months to drastically crack down on illegal and unregulated fishing or face an EU seafood import ban, but has lifted the threat of similar action against South Korea and the Philippines. …

  • Philippines accuses China of turning water cannon on its fishing boats

    Filipino activists denounced China's coast guard on Tuesday for turning water cannon on Philippine fishing boats in disputed waters, near where hundreds of Filipino and American Marines landed on a beach in a mock assault. The presidential palace in Manila said China's coast guard used water cannon on Monday to drive away a group of Filipino fishermen at Scarborough Shoal, damaging some of their wooden boats. …

  • Image of Asia: Training to storm a beach in the Philippines
    Image of Asia: Training to storm a beach in the Philippines

    In this photo by Bullit Marquez, a U.S. Navy amphibious assault vehicle with Philippine and U.S. troops on board storms the beach during a joint exercise at the Naval Education and Training Command center in Zambales province, northwest of Manila. The Zambales shore faces the disputed Scarborough Shoal, where Chinese vessels were reported to have driven away Filipino fishermen with a water cannon and seized some of their catch in early April. Philippine military officials say the maneuvers with …

  • Pinoy team wins global disaster preparedness competition

    The Philippines was one of the big winners at the 2015 Global Innovation Competition last week for a cloud-based information system for disaster. The project, called "Balangay," is the brainchild of cousins Frei Sangil and Paolo Sangil. …

  • How Asia uses Bitcoin in one color-coded map
    How Asia uses Bitcoin in one color-coded map

    Bitcoin is a global phenomenon, but not everyone around the world uses it in the same way. Here in Asia, the way a person from the Philippines uses bitcoin is probably very different from how it’s used in Thailand, and both are very different from the typical user in Taiwan. Despite bitcoin being hailed as …

  • Pacmania sweeps Philippines ahead of Mayweather clash
    Pacmania sweeps Philippines ahead of Mayweather clash

    Manny Pacquiao's face is on shirts, dolls and postage stamps, his life story is playing in movie houses and millions are getting ready to party as the Philippine boxing hero's "fight of the century" nears. Pacmania is sweeping the Southeast Asian nation of 100 million people ahead of the May 2 Las Vegas bout against unbeaten Floyd Mayweather to decide who is the best boxer of their generation. Of course, it's the fight of the century," Manila film producer Lucky Blanco told AFP. …

  • Manila 'cute little submissive' of US: China media
    Manila 'cute little submissive' of US: China media

    The Philippines is nothing more than the "cute little submissive" of the United States, a Chinese tabloid with close ties to the ruling Communist Party said on Tuesday, criticising Manila for military exercises with Washington. The English-language editorial came a day after the Philippines launched giant 10-day war games with the US and Australia, partly aimed as a warning shot to Beijing amid competing claims in the South China Sea, home to vital shipping routes. "Of all the countries …

  • Philippines seeks more military aid from US to counter China
    Philippines seeks more military aid from US to counter China

    The Philippines said Tuesday it would soon ask the United States for more military equipment and training to build its defences, as it faces Chinese "aggressiveness" in disputed waters. As hundreds of Filipino and American Marines simulated an amphibious assault to reclaim territory from invaders during annual war games, military chief General Gregorio Catapang told AFP he was drafting a "wish list" for US aid. Catapang said the Philippines would ask for "equipment and training", when Foreign …

POLL

Should Aquino be held accountable over the Mamasapano operations?

Loading...
Poll Choice Options