Just wanted to update everyone on the awkward slow-dance going on between Yahoo! and Microsoft. According to the New York Times, Microsoft apparently upped its offer to buy Yahoo! from the initial $31 per share to an undisclosed amount. Yahoo! believes itself to be worth at least $37 per share and The Times is reporting that “Microsoft suggested it was willing to pay more than $33 a share,” according to sources involved with the negotiations.

Yahoo! has been repeatedly declining offers from Microsoft, although co-founder and CEO Jerry Yang has said that it’s not because Yahoo! doesn’t want to strike a deal, it’s because Yahoo! feels that Microsoft’s initial bid “substantially undervalued the company.” Microsoft CEO Steve Ballmer told his employees last Thursday, “I know exactly what I think Yahoo is worth to me. I won’t go a dime above, and I will go to what I think it’s worth if that gets the deal done.”