Rupert Murdoch's News Corp announced last week that it was looking at pulling its news content off Google.
The Microsoft deal, reported by the FT, could spark a search engine battle and also offer hope to newspapers struggling to monetise online content.
Microsoft has also approached other online publishers in a bid to convince them to "de-index" their sites from Google, according to the report.
The move is being viewed as a direct assault on Google's search engine by Microsoft.
Microsoft and News Corp in talks over blocking Google
by Anne Cassidy, campaignlive.co.uk, 23 November 2009, 09:53am
LONDON - Microsoft and News Corp have had talks over a plan which could see the internet giant paying Rupert Murdoch's company to list news content on its search engine Bing.

Microsoft...in talks with News Corp
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