Flickr fans can rest easy— at least for now. Yahoo rejected Microsoft's $44.6 billion takeover offer this morning, arguing that Microsoft had undervalued it. This doesn't mean the battle is over, however. Microsoft could come back with a higher bid, or if it decides to play rough it could try to oust Yahoo's board in favor of a new one more likely to approve the bid.

Even if Yahoo does agree to be bought out, however, government regulators may not approve the sale. In fact, Google will likely throw money at lobbyists to try to prevent or delay a Microsoft-Yahoo merger for as long as possible. In that case should Yahoo fans be grateful to Google or worried the company wants to save Yahoo, in order to find some other way of crushing it instead?

Microsoft did see some success today in its business of eating other companies like Tic Tacs: it purchased Danger, Inc., Sidekick's manufacturer.

via The New York Times