After Reuters reported yesterday that Infogrames CEO Bruno Bonnell might be willing to help out Ubisoft in its defense against a hostile take over from EA, todays rumour involves a possible merger between Vivendi and Ubisoft according to French newspaper L'Agefi. Either publisher had no comment but it is safe to say that a merger between Vivendi Universal Games and Ubisoft would create the largest video games group in Europe. Analysts said the tie-up would be encouraged by the French government which would be concerned about seeing French games technology fall in foreign hands.

UPDATE : "In view of the rumors reported in the press, Vivendi Universal denies that any negotiations are taking place concerning the takeover of Ubisoft."