Microsoft and Yahoo are reportedly close to a search and advertising deal that could be announced next week. Microsoft executives are said to be in Silicon Valley for final talks, and CEO Steve Ballmer is reportedly monitoring their efforts.

The blog said the deal would involve "Microsoft paying Yahoo several billion dollars upfront to take over its search advertising business and guarantee certain payments back to Yahoo." That would be in line with Yahoo CEO Carol Bartz's comments in May that Yahoo was talking with Microsoft and any deal for Yahoo's search assets would require "boatloads of money."