Yahoo and Google claimed they had provided the US Justice Department with information about the two-week trial that ended yesterday, which was in part aimed at exploring a potential link-up which could help Yahoo thwart Microsoft's takeover bid.
News of the regulatory interest in the Yahoo/Google tie-up comes as the Internet outfit awaits Microsoft's next move in its takeover attempt.
Yesterday, Microsoft chief executive Steve Ballmer warned he does not plan to raise the company's offer for Yahoo. "We are offering a lot of money," Ballmer said at a conference in Milan. "If Yahoo's shareholders like it, that's great. We are prepared to go forward without a merger."
His comments appear to set the stage for a fight for control of the company, within days. On April 5, Ballmer threatened to oust Yahoo's board and consider lowering its bid, if Yahoo failed to negotiate with Microsoft within three weeks.
Earlier this week, Yahoo reported its first quarterly profit increase for more than two years.