Updated from 2:31 p.m. EST

Microsoft

(MSFT) - Get Report

has sold its 7.3% stake in

Comcast

(CMCSA) - Get Report

, the software firm disclosed in an SEC filing Friday.

In 2002, Microsoft bought 115 million shares of the nation's largest cable operator as part of Comcast's acquisition of AT&T Broadband. As of March 2008, it owned 150.9 million Class A shares.

Shares of Comcast closed down 8.6% to $14.02 Tuesday, while Microsoft shares were down 6.2% to $18.48.

In other recent Microsoft news, reports that Microsoft chief Steve Ballmer had met with

Yahoo!

(YHOO)

CEO

Carol Bartz

reignited talk that the two might strike a search deal, though Bartz has said her

instinct

is to hold off on such a move.

This talk comes amid rumors that Microsoft is considering large

job cuts

, though Ballmer has declined to say whether the company was planning layoffs.

And, the European Union ordered the software giant Friday to untie the Internet Explorer browser from its operating system in the 27-nation EU, saying that coupling of the browser and operating system violates EU antitrust rules.

This article was written by a staff member of TheStreet.com.