Yahoo! open to buys in India

Looking to tap the huge potential that it sees in India, Yahoo! is open to acquisitions in the country on the lines of its strategy in other markets.

"India is going to be big," said Jerry Yang, co-founder and chief of the company. In the next five years, India will go on to be among the top three internet markets, he added.

The company's top management team, however, feels the Indian market has some way to go yet as the internet penetration is currently low. "The game's just begun in India," Terry Semel, chairman, CEO and director, said.

The top management team of the world's leading internet company plans to spend time with potential partners in India. The team declined to discuss its investment plans during an interaction with reporters today.

The $5.2 billion Yahoo! offers a range of services, including commerce and content services. One of the attractions of the Indian market is internet advertising, which Semel feel has just started to realise its potential.

Yang identified inadequate infrastructure as a constraint to growth of the internet industry. But the industry has to see use that as an opportunity to push along towards higher growth, he said.

The company currently owns two units in India that provide support for its worldwide services. Yahoo! Engineering Services provides quality assurance services and supports all Yahoo! applications deployed worldwide.

Yahoo! R&D India creates technologies and products that serve regular requirements on the internet. One of the company's aims for the country is to create a great local product, Yang said.