A little more grist for the Yahoo/Microsoft rumor mill from Y Combinator:

Husband of a friend works in management over at Yahoo. She says the word is around the water cooler, that Yahoo's looking for around $36 a share, and then will sell.

Y Combinator, a startup incubator, is unaffiliated with Yahoo, but was founded by Paul Graham, who sold a company to Yahoo a decade ago.

The commenter continues:

He's hoping it happens so he can cash out his stock, and then bail. He worked 18hr days x 1 yr to get a big project out the door, thinking he'd be a big promotion or raise... he got a trophy, a pizza dinner and a $1000 check. His team got bupkiss.

Sounds like morale is pretty low, and sound like there's going to be a lot of engineers looking for new jobs soon. Or, a lot more startups rising [from] Yahoo's ashes.

Yahoo was last priced at $36/share in January 2006.

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