Microsoft & Yahoo Top Executives Have Met to Discuss MS Takeover According to an Unnamed Source

A leak from an unnamed source has indicated that Microsoft and Yahoo
have officially met to discuss MS's failed takeover bid with a view to
finding an amicable way forward following MS's apparent willingness to
mount and increasingly hostile takeover campaign.

Following on from Microsoft's much reported failed attempt at taking
over Yahoo which was flatly rejected on account of Yahoo being adamant
that MS's bid of $44.6 billion (equating to around $31 per share) overly
undervalued the company, is being reported today via an unnamed source
that top Microsoft and Yahoo executives have met close to Yahoo's
Sunnyvale headquarters in order to discuss how they could move forward
in a mutually beneficial fashion being that MS have made no qualms of
the fact that they will pursue a hostile takeover of Yahoo in order to
secure its acquisition - no doubt fuelled by its desire to become
increasingly competitive with Google.

The talks, which apparently occurred last Monday (10/03/08) but which
have not been officially confirmed (or denied) by either party are
thought to have primarily focused on finding an amicable solution with
MS apparently keen to sell its vision of a 'combined future' to Yahoo
whilst Yahoo, for their part, will no doubt have been keen to press home
why they believe MS's valuation of the company falls short of their
expectations.

Yahoo's shareholders, who, in the main, were reported as being somewhat
displeased that Microsoft's initial bid was rejected by Yahoo's board of
directors will know doubt be following these unsubstanciated reports
with a particularly keen eye as industry insiders are of the firm
opinion that MS could be on the verge of increasing their offer in order
to secure Yahoo.

Interesting, as one would expect, Google have also displayed an interest
in Yahoo but its thought that antitrust regulations would make it highly
unlikely that Google's acquisition of Yahoo could prove feasible. On the
other hand, AOL, who were also reported as being a potential player,
having just secured the social online network Bebo for pound sterling850
million are now thought to be out of the running.