Yahoo! in the US has entered into a deal with CBS Radio regarding its internet radio operations, which still operate under the Launchcast banner. The Yahoo! deal is similar to one done between CBS and AOL recently, and is a sign that the big internet companies are struggling to make their streaming music services work amid higher-than-anticipated royalty charges and a slumping advertising market.
CBS's interest in acquiring a stake in both AOL and Yahoo!'s internet radio operations seem to be linked to its aims to expand its last.fm service, and word has it those aspects of Launchcast that compete with last.fm - in particular personalised playlists - will disappear from Yahoo! with users directed towards last.fm.
As previously reported, there's a lot of speculation regarding the future of Yahoo!, with most analysts now certain it will have to merge with another net firm to survive.