Amazon, Best Buy Said to Be Discussing Alliance

Online merchant Amazon.com (AMZN Quote) and consumer electronics retailer Best Buy (BBY Quote) are in "senior-level" discussions over the formation of a strategic alliance, according to one person familiar with the talks.

The potential deal could be modeled after the one between Amazon and Toys R Us (TOY Quote), which together operate a co-branded online toy store.

Justin Osmer, an Amazon spokesman, said, "We don't respond to rumors or speculation. I will say that our program with Toys R Us is doing very well, and that we have had lots of inquiries [about potential alliances]." A spokeswoman for Best Buy, based in Eden Prairie, Minn., said the company doesn't comment on rumors. ...