The quiet from Sunnyvale this weekend was broken late tonight. A person familiar with the matter told Reuters that Yahoo is not against selling to Microsoft once the price is right.
Reuters reports that Yahoo is planning to send a response Monday to Microsoft CEO Steve Ballmer’s weekend letter in which he gave Yahoo’s board three weeks to negotiate an agreement or face a hostile takeover.
According to Reuters’ source, the letter will say that Microsoft needs to raise its $31-per-share offer. It will also counter Microsoft’s assertions that Yahoo’s business is suffering. Microsoft has made clear its case against raising its bid. This could set up a standoff to be settled in two weeks when Yahoo must reveal the true status of the company as part of its first quarter earnings report.