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Old 07-28-2009, 08:49 PM   #1
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Default Microsoft, Yahoo agree on ad partnership: source!

Just noticed this story. It's major and it looks like it's finally going to happen!

SEATTLE (Reuters) - Microsoft Corp and Yahoo Inc have agreed to an online search and advertising partnership, in an attempt to rival Google Inc, that will be announced within 24 hours, a source familiar with the situation said on Thursday.

Microsoft will not pay an upfront fee to Yahoo, and the focus of the deal is on sharing revenue between the two companies, said the source, who did not want to be identified because a formal announcement has not been made.

The news and details of the expected deal were first reported by the AllThingsDigital blog and Advertising Age.

Microsoft and Yahoo declined comment. The two companies have talked for months about cooperating in the online advertising market, dominated by Google.

Microsoft tried to buy Yahoo last year but its $47.5 billion bid was rebuffed and Yahoo's attempt to seal a search advertising deal with Google Inc fell apart under regulatory scrutiny.

Under the expected deal, Microsoft's new Bing search engine will power Yahoo's searches, according to Advertising Age, while Yahoo will handle the advertising sales, using Microsoft technology.

The deal should give Bing a giant boost in competing with Google's search engine. Google's search engine dominates the marketplace with 65 percent of U.S. Internet searches, according to figures provided by research firm ComScore. Last month, Microsoft had only 8.4 percent of the market and Yahoo 19.6 percent

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Old 07-28-2009, 09:00 PM   #2
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Default Re: Microsoft, Yahoo agree on ad partnership: source!

This.

Is.

Huge.

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Old 07-28-2009, 09:03 PM   #3
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Default Re: Microsoft, Yahoo agree on ad partnership: source!

Quote:
Originally Posted by quiescen View Post
Just noticed this story. It's major and it looks like it's finally going to happen!

SEATTLE (Reuters) - Microsoft Corp and Yahoo Inc have agreed to an online search and advertising partnership, in an attempt to rival Google Inc, that will be announced within 24 hours, a source familiar with the situation said on Thursday.

Microsoft will not pay an upfront fee to Yahoo, and the focus of the deal is on sharing revenue between the two companies, said the source, who did not want to be identified because a formal announcement has not been made.

The news and details of the expected deal were first reported by the AllThingsDigital blog and Advertising Age.

Microsoft and Yahoo declined comment. The two companies have talked for months about cooperating in the online advertising market, dominated by Google.

Microsoft tried to buy Yahoo last year but its $47.5 billion bid was rebuffed and Yahoo's attempt to seal a search advertising deal with Google Inc fell apart under regulatory scrutiny.

Under the expected deal, Microsoft's new Bing search engine will power Yahoo's searches, according to Advertising Age, while Yahoo will handle the advertising sales, using Microsoft technology.

The deal should give Bing a giant boost in competing with Google's search engine. Google's search engine dominates the marketplace with 65 percent of U.S. Internet searches, according to figures provided by research firm ComScore. Last month, Microsoft had only 8.4 percent of the market and Yahoo 19.6 percent
Big G can't be beaten, at least for a few more years. Where did you get this news? Link?
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Old 07-28-2009, 09:05 PM   #4
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Default Re: Microsoft, Yahoo agree on ad partnership: source!

Smart.

Microsoft does search better than Google. What they don't do well is advertising - Google kicks their arse all up and down the street.

Meanwhile, Yahoo! does advertising well, but they SUCK at search. Google kicks their arse all up and down the street, too.

The question is whether Microsoft and Yahoo! together can start kicking some Google arse. Jury's out on that one, but they certainly can't do it alone.

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Old 07-28-2009, 09:07 PM   #5
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Default Re: Microsoft, Yahoo agree on ad partnership: source!

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Originally Posted by gskesavan View Post
Big G can't be beaten, at least for a few more years. Where did you get this news? Link?
Reuters. Pretty dependable. But you should hear much more about this once they finalize the deal. Here's the link http://www.reuters.com/article/ADVER...38740520090729

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Old 07-29-2009, 07:36 AM   #6
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Default Re: Microsoft, Yahoo agree on ad partnership: source!

This merger is all officially announced now.

How do you think this affects adsense campaigns? More competition means lower prices for advertisers which may reduce the percentage website owners receive. Or maybe the reverse will happen if both companies compete to make their versions more rewarding to attract the traffic generated by web owners.

What do you think?
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