Does Yahoo! have eyes for Excite@Home?

According to Business Week, Yahoo! might incorporate Excite into its business and spin off @Home, which provides high-speed Web access over cable. AT&T Corp., the majority shareholder of Excite@Home, would then retain control of @Home.

The Business Week story said that Yahoo! is looking to beef up its broadband strategy, driving the move. According to the magazine, Yahoo! had considered buying Excite late last year before @Home made an offer. @Home just completed its purchase of Excite in May.

Officials from both Excite@Home and Yahoo! said they would not comment on rumours and speculation.

Yahoo! has been snatching up companies to round out its Internet strategy in recent months, including online community creator GeoCities Inc. , which it bought in January, and audio and video provider Broadcast.com Inc., which it bought in April.