Google and Yahoo working on a Last Minute Revision for Search Advertising!

Google and Yahoo are working out their last-minute deal on trading search advertising campaigns.  Basically, it will allow Google to advertise on Yahoo while vice-versa for Yahoo to Google.

I think this is a great marriage between the two biggest search engines in the world.  I am so glad that Yahoo-Microsoft deal never went through, it would’ve just killed Yahoo while making Microsoft bigger.

Anyways, here’s an excerpt from NYTimes on the GooHoo deal:

The advertising deal calls for Google to place ads next to some Web search results on Yahoo, lifting Yahoo’s revenue. Under the revised terms, the deal would be shortened to 2 years, from as many as 10, said the person, who agreed to speak only on the condition of anonymity because the discussions remained confidential.

In addition, the amount that Yahoo could earn from ads placed by Google would be capped at 25 percent of Yahoo’s search advertising revenue, the person said. Previously, Yahoo had the discretion to decide how much of its search ads to turn over to Google.

Google and Yahoo submitted the new proposal to the Justice Department over the weekend. It is not clear whether the limitations will be enough to satisfy antitrust investigators, who have raised objections to the planned partnership.

via nytimes

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