There is no option left to Yahoo! but to accept a takeover offer from Microsoft, an expert has argued.

Andreas Kluth from the Economist told the Today programme on BBC Radio 4 that the search engine provider had not managed to find an alternative to the takeover approach.

Mr Kluth suggested that the firm has not good alternative to the takeover, adding that one possible option would be to join forces with Time Warner, which operates the AOL web portal.

"Jerry Yang had three months, he’s emotionally very against this takeover by Microsoft, but he’s had all this time to come up with some alternatives and they haven’t materialised," said Mr Kluth.

His comments come following the publication of Yahoo’s results for the first three months of the year, where the firm saw its income treble to some $542.2 million (£274 million).

This income was better than some analysts had expected and was in line with founder Mr Yang’s expectations, but Mr Kluth told the radio programme that earnings were not spectacular.

Bloomberg today reported that Microsoft will not raise its $44.6 billion bid for the search engine provider.

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