The BBC is reporting that Silvio is finally going to give up:
"Italian Prime Minister Silvio Berlusconi is to resign after a final cabinet meeting, paving the way for Romano Prodi to form a new government. The defeated centre-right leader will hand in his notice to President Carlo Azeglio Ciampi but is then expected to be asked to stay on as caretaker.Mr Ciampi is himself leaving office this month and wants his successor to preside over the new government.
However, he is under growing political pressure to appoint Mr Prodi this week.
Mr Berlusconi plans to hold a final cabinet meeting at midday (1000 GMT) and then go to the Quirinal Palace, the official residence of Mr Ciampi.
The way will then be open for Mr Prodi, the winner by a narrow margin of last month's general election, to receive a mandate to form a government."
More here.