The Google deal was a bust and the company has already endured massive layoffs. So what's Yahoo to do?

CEO Jerry Yang said he is open to all offers for the struggling web giant he co-founded, and he has even tried to get in Microsoft's good graces. "To this day, I would say that the best thing for Microsoft to do is to buy Yahoo," Yang said. "I don't think that is a bad idea at all."

But it looks like the Microsoft door has shut. "We're not interested in going back and re-looking at an acquisition,'' Microsoft boss Steve Ballmer said, according to Bloomberg. "I'm sure there are still opportunities for some kind of partnership around search."

It's unknown what a search deal between the two would entail, but industry analysts have said Microsoft needs Yahoo to survive in the advertising business.

How about AOL? This would seem to be the most logical choice for Yahoo, but there are still price issues holding back a potential merger, according to Kara Swisher of BoomTown.