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Microsoft & Yahoo against Google

Microsoft & Yahoo against Google

by Ivory Morhuld

Ivory Morhuld
U.S. companies Microsoft Corp. and Yahoo Inc. concluded an agreement in the field of search and advertising network, where both groups are clearly overtaken by rival Google.

According to the signed agreement Yahoo will earn 500 million dollars from the deal with Microsoft in the current year and 200 million in savings from increasing the capital of the company.

Recently introduced search engine of Microsoft - Bing will be fully used from Yahoo, both for free and paid services for Internet inquiries.

For its part, Yahoo will be responsible for the adverts to appear in the search and to communicate with the requested keywords. Contract is concluded for a period of 10 years.

We recall some time ago the CEO of Microsoft Steve Ballmer said he sees opportunities for collaboration with Yahoo towards the creation of "advanced search" services.

In April it was announced that Microsoft continues to believe that there is a sense of cooperation in Yahoo, even if the company withdraw from the purchase of Internet search engine.

Yahoo and Microsoft take second and third place in the market of Internet search engines in the U.S. with a share of respectively 21 and 8 percent, while Google is the undisputed leader with 64%. If the deal succeed, the Google share is hardly a majority would remain so for long.

Last year, Microsoft attempted to acquire Yahoo for 47.5 billion dollars, but the effort of the software giant struck a stone.

Meanwhile, Yahoo is trying to reach a deal with Google in Internet advertising, but it was not approved by regulatory authorities.

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