Yahoo! Outsourcing Search Ads to Google
The test will last up to two weeks and involve no more than 3% of Yahoo's Web search queries, the Sunnyvale, Calif., Internet company said. It is designed for Google and Yahoo to evaluate the revenue potential of a broader search ad sales outsourcing arrangement, according to people familiar with the matter. They have been discussing such an arrangement as part of Yahoo's pursuit of alternatives to Microsoft's unsolicited acquisition offer. Yahoo views the latest test partly as a way to demonstrate its belief that it is worth more than Microsoft has offered, one of the people says.
To say Microsoft was displeased is an understatement. In fact, Microsoft fired back with a press release noting possible antitrust concerns. Waitasec, didn't Yahoo! say the same about a Microhoo deal?