Yahoo and Google announce search and advertising partnership

Shawn Knight

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On the heels of another disappointing quarter, Yahoo announced a three-year search and advertising partnership with rival Google. As per the agreement, Google will provide search ads and pay Yahoo a percentage of the revenue said ads generate.

According to a regulatory filing on the matter, Yahoo is allowed to decide which search queries to send Google’s way. Furthermore, there is no minimum number of searches that must involve Google. The agreement went into effect on October 1 and expires on December 31, 2018.

In 2009, Yahoo entered into a deal with Microsoft in which all of its search results and ads would be supplied by Bing. The agreement was made at a time when both companies were under different leadership; Steve Ballmer was the head at Microsoft while Carol Bartz led Yahoo.

Earlier this year, Yahoo’s Marissa Mayer and Microsoft boss Satya Nadella agreed to amend the original deal which now states that only 51 percent of Yahoo’s search results and ads are to be supplied by Microsoft’s Bing.

This isn’t the first time Yahoo has tried to team up with Google. Just after Yahoo’s failed attempt at a partnership / merger with Microsoft, the company entered into a non-exclusive partnership with Google for the same purposes as the current deal. Google pulled the plug on the arrangement just five months later over antitrust concerns from federal regulators.

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I can't help but think poor little Marissa is still flogging a dying horse here but I have to give her credit for giving it her all.
 
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