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Yahoo sends contradictory signals after Microsoft backs off from merger deal

Yahoo is still opened to a complete buyout by Microsoft or other companies which would be ready to put the right price on the table, said Jerry Yang, Yahoo's Chief Executive Officer.

In what seems to be some kind of morale-sapping exercise, Yang stressed that Yahoo still have a "for sale" sign outside its office and said that it would listen "should somebody else come back someday and want to buy the company."

Steve Ballmer said on Friday that Yahoo had asked for at least $37 per share, a price that Microsoft considered to be way too expensive, even for a company the size of the software developer.

Yahoo's shares fell after Microsoft backed down, sending prices down by a full 15 percent on Monday afternoon although they picked up slightly during pre-market exchanges.

At $24.37, Yahoo's current price is still well above the $19.18 floor that Yahoo reached before Microsoft made the acquisition offer back in January.

Google though seems to be making the most of the current situation after having managed to secure a deal with Yahoo; Microsoft shares climbed by 2.34 percent to nearly USD 594.90 and is on target to reach $600 today.

Désiré has been musing and writing about technology during a career spanning four decades. He dabbled in website building and web hosting when DHTML and frames were en vogue and started writing about the impact of technology on society just before the start of the Y2K hysteria at the turn of the last millennium. Following an eight-year stint at where he discovered the joys of global tech-fests, Désiré now heads up TechRadar Pro. Previously he was a freelance technology journalist at Incisive Media, Breakthrough Publishing and Vnunet, and Business Magazine. He also launched and hosted the first Tech Radio Show on Radio Plus.