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.
This might be an overkill for your marriage but Google is starting to prove that their applications can pretty much replace anything that Microsoft has done before.
On the other side of the globe, Microsoft is wetting its pants trying to buy search engines or anything that might save their company in the new Web 2.0 era.
Well, honestly I don’t think Powerset is worth anywhere near $100 million and I don’t know what Microsoft is trying to do but maybe it’s because their Yahoo deal didnt’ go through and they needed to waste some cash.
Good luck on this one Microsoft, you might have just bought a product that might not perform as much as you paid.
Here’s an interesting comparison chart for comparing Google (GOOG) deal versus Microsoft’s(MSFT) for Yahoo(YHOO).
I am actually really thankful that Yahoo went with Google as they are a similiar-nature companies whereas Microsoft has been a “has-been” operating system company.
Even as a non-expert on company mergers, I cannot see how Microsoft deal can help “any” company. They really should fix their Vista or just recycle it somehow first.
Maybe Microsoft’s Live search is really on its last threads and they are trying to “buy” their way out into search engine wars.
Either way, I am all for no Microsoft, whether that’s my next computer or search engine.
Google and Yahoo are now working together on a search advertising program. This is good news since Microsoft is out of the game and I’ve always thought Yahoo could benefit from Google’s advertising/publishing programs.
Why did we make this agreement? Quite simply, we think it is good for users, advertisers and publishers. By offering Google’s industry-leading technology to Yahoo!, the whole system becomes more efficient, and everyone benefits:
Consumers will see more relevant ads when they are looking for information and browsing the web. And with interoperability between IM services, users will have easier access to even more of their contacts.
Publishers currently in the Yahoo! Publisher Network will benefit from Google’s advertising technology, potentially increasing the revenue they earn from their sites.
Advertisers will have new ways to reach their target customers online more efficiently.
Microsoft (NSDQ: MSFT) unveiled plans Wednesday to entice advertisers and users of its search engine with cash-back savings on online purchases, launching a site called Live Search cashback.
The new site is ostensibly a product search site, but any of the products found by using Live Search cashback can be bought for a certain percentage off even the cheapest price that comes up from a variety of stores participating in the promotion. Advertisers, meanwhile, will only pay per purchase, not per click
Only 8 percent of 380 developers surveyed by Evans Data Corp. in April are writing applications for Vista, while 49 percent are still writing applications for primarily for the predecessor Windows version , XP. In addition, 11 percent said are applications mostly for Microsoft Office 2003, while 9 percent are focused on Linux-based apps.
Great, Icahn just stirred Microsoft to do some more damage…
Microsoft announced that it is continuing to explore and pursue its alternatives to improve and expand its online services and advertising business. Microsoft is considering and has raised with Yahoo! an alternative that would involve a transaction with Yahoo! but not an acquisition of all of Yahoo! Microsoft is not proposing to make a new bid to acquire all of Yahoo! at this time, but reserves the right to reconsider that alternative depending on future developments and discussions that may take place with Yahoo! or discussions with shareholders of Yahoo! or Microsoft or with other third parties.
