We haven't heard a whole lot from either Microsoft or Yahoo since the latter rejected the former's $44.6 billion takeover offer last month. We did learn that Yahoo was looking for alternative offers from other companies, and although there were rumors that Microsoft would try to either make an offer directly to Yahoo's shareholders or increase its bid, nothing has happened yet.
However, Microsoft has definitely not given up on its plans. Reuters quotes a Wall Street Journal report that says the software giant and Yahoo met earlier this week to discuss the potential merger. Supposedly, the meeting was the first since the acquisition offer, and it was "intended to allow Microsoft to present its vision of a combined company." According to Reuters, the Wall Street Journal learned from its sources that Yahoo executives present at the meeting "mostly listened," but no bankers were present and the meeting wasn't a negotiation.
With antitrust regulation likely standing in the way of a Yahoo buyout by Google, and News Corp. not interested in a bidding war with Microsoft, Time Warner may be the only company left that could bail out Yahoo. However, some analysts reckon that the recent completion of Google's buyout of ad firm DoubleClick could put increased pressure on both Yahoo and Microsoft to come to an agreement.