03/28/2008 02:45 am ET Updated May 25, 2011

Yahoo Running Out Of Options

It looks as if Yahoo will be dragged down the aisle by its suitor, Microsoft, no matter how loudly Google speaks its piece.

On Monday, other potential mates with deep pockets denied they would try to beat Microsoft Corp.'s $44.6-billion offer even as investment bankers tried to help Yahoo remain unhitched.

But Yahoo Inc.'s board of directors can't simply say no to such a strong offer without providing a better alternative, analysts said, and few options have emerged that wouldn't outrage shareholders or antitrust regulators.

"Yahoo does not want this to happen," analyst Charlene Li of Forrester Research said.

"But I'm not sure it has much of a choice."

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