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Reuters/Yahoo: Is Microsoft going to buy Rational and/or Borland? [via JDJ]

Two arbitrage traders said that there had been speculation that Microsoft, which had been rumored to be interested in buying Rational before IBM closed the deal, would step back into the race.

[…]

Borland Chief Executive Dale Fuller declined to comment on whether any deal with Microsoft was in the cards, but he added that he would consider offers.

It looks like it’s all speculation.  I’ll probably just leave it at that.