When the news is slow it’s always a relief to find a good juicy rumor to pass along to the readers of Marketing Pilgrim. Heck, if it wasn’t for rumors about Internet companies and other Internet related things there would be precious little to talk about on any day.

So what’s the latest? We hear from the folks at The Business Insider that Yahoo is looking to acquire Foursquare for somewhere in the range of $100 million.

Deal-makers are deciding right now whether or not to buy super-hot location-based startup Foursquare for ~$100 million, says a source close to bankers involved in Foursquare’s current fundraising efforts.

A source close to Yahoo told us a Foursquare-owned Yahoo “would be nice.” This source told us “we’ve had discussions,” but cautioned: “We talk to everybody.”

For his part, Foursquare CEO and cofounder Dennis Crowley spent all last week meeting with all the big name companies in the Valley, including Apple, Facebook, and Twitter. Reached, Dennis declined to comment.

Yahoo’s official response is that they don’t comment on rumors and speculation. Standard press relations stuff. Some feel that Foursquare may be trying to goose valuations as it gets significant attention from major VC’s like Accel and Andreessen Horowitz.

How would Foursquare fit in the Yahoo view of the world? Pretty well. Yahoo has been sitting on the sidelines since its purchases of Flickr and Delicious and flirted with Facebook back in 2007.

A Foursquare acquisition makes tons of sense for Yahoo, where product executives believe that paradigm of Web pages could soon go away, to be replaced by a universe of service built on Internet-connected devices in, around, and outside the home. It would be a relatively cheap way for Yahoo CEO Carol Bartz to show employees and Wall Street that she’s serious about innovating.

So do you think that Carol Bartz is really serious about innovating or does she just want to tell her boat loads of friends that she is the new mayor of Foursquare?