The deadline is gone, Yahoo made no decision, so it was time for Microsoft to think about their next step, in a meeting that took place Wednesday, the Wall Street Journal reported. The issue here is whether Microsoft will raise its bid, which Yahoo considers to undervalue them, to as much as $33 per share, compared to their $31 per share in their initial offer.

Sources familiar with the discussions said Ballmer and Microsoft are lobbying Yahoo shareholders to pressure Yahoo’s board into accepting a deal with Microsoft. However, the situation isn’t that simple, as not all shareholders want the same thing, and some of them appear to want more money as well, which makes Ballmer’s work even harder.

Apparently the meeting wasn’t productive at all, as the board of directors from Microsoft reportedly failed to make a decision. The situation now could go two ways: either Microsoft continues to go forward with the deal, or just give up on the idea. The decision appears to lie in Ballmer’s hands now, and it’s hard to tell what he might be thinking.

Last week, Ballmer said Microsoft could take into consideration to stop pursuing a deal with Yahoo, however, most analysts dismiss this option. Neither of the companies wished to comment on Wednesday. Yahoo is expected to hold a meeting of its own on Friday, a person familiar with the company revealed.

After months of failed negotiations, Microsoft gave Yahoo an ultimatum in an April 5 letter, stating that if the two companies will not begin a negotiation on a definitive agreement within three weeks, they will take the case directly to the shareholders and start a proxy contest to elect a slate of directors for Yahoo board. However, the deadline, which was due this week, expired silently for both sides.

The initial offer made by Microsoft on February 1 was $31 a share, adding up to a grand total of approximately $44.6 billion, but after a downfall in Microsoft’s shares, it is now worth about $42 billion, still making it, if finalized, the biggest-ever takeover in the high-tech industry.