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Yahoo & Microsoft do deall!
Tue, 12/08/2009 - 18:35
in
This story was first reported a few months ago. However, there have been some major developments today. As an internet advertising agency this is major news because it will have impact on the way we work and buy advertising.
It seems the search companies are combining efforts in an attempt to become more competitive in the market. Bing, Microsoft's newly re-vamped search engine will now power Yahoo! In return for this, Yahoo! will now sell advertising on both of the search engines.
The deal is set to be signed, sealed and fully closed by early 2010. However, there is one thing which they have not yet completed. The Department of Justice in the US has not yet approved the move, which could potentially throw a spanner in the works. This could be quite a blow as I'm sure both parties have probably already devoted quite a lot of time and resource to getting the deal this far already. Whether or not the partnership will be approved is not clear. But there will no doubt be competition concerns, both in the US and over here in Europe.
The main purpose of the co-operation is to attempt to compete better with the current market leader Google, who at present account for about 85% of the market. Whether or not their efforts will be successful remains to be seen as only time will tell.
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