This morning TechCrunch
reported talks are back on, with conflicting stories on the exact nature of the deal. CNET reported that Microsoft proposed a more favorable search-only deal. TechCrunch sources say its a full buyout with a lower price than the last offer of $33/share in May.
I suspect Yahoo is going to take the deal this time. With their stock plummeting and the recent exodus of top level execs
they have little choice. Their recent deal with Google helps a bit, but in general the company is a mess. If I were a shareholder I would have been screaming bloody murder when they let the last round of talks fall apart.