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Microsoft hasn't ruled out Yahoo tie-up

Ballmer says pair could improve search

Microsoft hasn't ruled out working with Yahoo to create a "better search product".

Despite a prolonged takeover bid last year, which Microsoft eventually abandoned, CEO Steve Ballmer told Reuters a tie-up would have been "valuable".

"I'm glad we went down the road," he added, but declined to comment any further on how the piar might improve web searches.

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