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Letter: Microsoft gives Yahoo 3-week deadline

Time: 17:09 EST/22:09 GMT | News Source: Seattle PI | Posted By: Kenneth van Surksum

A new twist in Microsoft's big Yahoo acquisition bid: In a letter to Yahoo's board Saturday, Microsoft Chief Executive Steve Ballmer gave the Internet portal three weeks to reach an agreement in response to Microsoft's offer, promising to attempt a hostile takeover if they can't strike an amicable deal.

Ballmer's letter is meant to further increase the pressure on Yahoo to act. In it, he makes explicit what were previously only veiled threats. As reported yesterday, Microsoft was said to be "evaluating" its options after it was unable to get Yahoo to enter formal negotiations. Yahoo has said Microsoft's offer substantially undervalues the company. Microsoft has reportedly declined to sweeten the bid by raising its $44.6 billion offer.

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