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Microsoft announced it will not be going forward with its plan to buy Yahoo, after it was clear the two sides could not agree on a price, and Steve Ballmer elected not to risk his entire career on the deal.
Microsoft raised its offer to $33 (effectively adding $4 to the deal, based on stock value, or $5 billion, and Yahoo wanted another $4, a total of $10 billion over the original offer, which Microsoft believed was unworkable.
Now with the deal off, it looks like Yahoo could announce a deal to give its ad business to Google as early as this week. Perhaps Microsoft plans to let Google get Yahoo, and thus almost the entire market, then try to bury their big competitor under an avalanche of antitrust complaints…