Yahoo is currently being sold for spare parts, and they're effectively out of the search business. Their search is mostly powered by Bing anyway. It would be a

Yahoo is currently being sold for spare parts, and they're effectively out of the search business. Their search is mostly powered by Bing anyway. It would be a huge propaganda and traffic coup for MSFT to be the default search engine on iPhone. MSFT won't pay /more/ than Google (if they were currently willing to do so, they would already by the default), but if Google was to not pay, MSFT would definitely jump in and pay Apple something, which is better than nothing.