Microsoft's CEO, Ballmer, sent Yahoo's board members a public letter saying:
If we have not concluded an agreement within the next three weeks, we will be compelled to take our case directly to your shareholders, including the initiation of a proxy contest to elect an alternative slate of directors for the Yahoo! board.
Basically, if you do not accept our offer in three weeks, then we will acquire you another way.
The news flew through the blogosphere and news pipelines, you can see a piece of that articles and blog posts at Techmeme.
There is some discussion on this at the forums. If you want to read SEO and Webmaster reactions, check out WebmasterWorld and DigitalPoint Forums.
Personally, this just seems like corporate bullying done through the PR teams. I wonder how Yahoo's shareholders will see this and how this will impact any decision Yahoo makes. Thankfully, I am not in Yang or Decker's shoes right now.
Forum discussion at WebmasterWorld and DigitalPoint Forums.
Then this morning, Yahoo responds that they have rejected their offer. Not because they are opposed to a deal with Microsoft, but because they feel the price under values what Yahoo is worth. In short, Microsoft, if you want us, give us more money.