Verizon may pony up $3 billion for Yahoo's Web business - CNET

Verizon could spend $3 billion to acquire Yahoo's Inteet business.

The telecom giant planned to submit a proposal before the second round of bidding ended Monday for Yahoo's core online assets, an unnamed source familiar with the matter told the Wall Street Joual. Private-equity firm TPG was also expected to tender an offer before the deadline, the Joual reported, but Verizon is currently seen as the leading contender.

A major Inteet player in years past, Yahoo has been trying to revive its slumping business fortunes. CEO Marissa Mayer aimed to shake things up by refocusing the company on its mobile sites and services, but those efforts have left consumers and investors cold. The situation has forced the board of directors to consider options beyond an attempted tuaround, including a potential sale.

Initially, "people close to the process" told the Joual that Yahoo's online business could sell for between $4 billion and $8 billion. Last month, that range dropped to between $2 billion and $3 billion for the second round of bidding. Some potential bidders were discouraged after a presentation by Mayer revealed the degree to which Yahoo's online ad business had deteriorated, according to the Joual's sources.