Yahoo And Microsoft Finally Reach A Deal

[rvalkass 5]

Back in February, Microsoft made a move to buy out Yahoo, and failed. Now they have reached a deal, but Microsoft hasn't bought out Yahoo. Instead they have decided to share revenue and effectively merge parts of the companies to compete against Google. Bing will replace the search technology at Yahoo, which should boost Bing's worldwide share to about 30% (Google's is about 65%). Yahoo will then be left to focus on media and selling advertising, but using Microsoft's technology.

However, both sides appear to be worried about competition investigations both in the EU and US, and investigations related to privacy in the new deal, as search data will be shared between Microsoft and Yahoo.

More information: http://adage.com/article/digital/microsoft-yahoo-google-search-deal/138177/

Should Google be worried by this latest deal? Are Yahoo users worried about losing Yahoo's search technology? Or will this deal be struck down by competition regulators?

[s243a 0]

I don't see what is gained by this for user's. If people wanted to use Microsoft search engine then they would. I've been lately discovering some cool serviced yahoo has and hope that microsoft will keep them.

[mahesh2k 0]

Typical Microsoft strategy. Still what makes them think that they'll gain more share with Bing ?. First of bing is not at all good for file searching and Error related searches, image search. So i hardly think they'll match up with Google atleast till 2010. They started Bing by bad mouthing google, which is one of the cheapest attempt from them. but we do neglect such strategies under the marketing hood. and with this deal i'm more sure that they want to own the market just to defeat googel and not by providing quality searches. Cause if it was the case, they could have improved the search quality but they're not doing that. Live and Bing both still are immature products IMO. Coming back to topic of deal , Yahoo is seriously dying anyway. they need to either sell themselves to some company like Microsoft or start innovating something. using bing won't change anything at all for them. I guess after this deal Microsoft though get one more competitor as alley but still long way to go in terms of users.

[TheDisturbedOne 1]

I think this could be a big threat to Google. Yahoo and Microsoft could easily overpower Yahoo if they were to combine. I haven't used Bing enough to say anything about it, but I looked on Alexa today, and Bing has become one of the top 100 websites in less than 3 months.I think the main thing that will keep Google going is all the tools that they have (GMail, Webmaster Tools, Adsense, Analytics, Toolbars), so that will keep people staying with Google. And the fact that Google is widely known as a search engine and as a word. You don't hear people saying "Go Bing that" or "Go Yahoo that", instead you hear "Go Google that".

[s243a 0]

Coming back to topic of deal , Yahoo is seriously dying anyway. they need to either sell themselves to some company like Microsoft or start innovating something. using bing won't change anything at all for them. I guess after this deal Microsoft though get one more competitor as alley but still long way to go in terms of users.

Yahoo is coming up with some awesome, products, like yql, yahoo pipes, babblefish,........
Maybe it is too late for them and they don't have enough of a buisness model behind it but I'd love to see them succeed on their own.

[serverph 0]

google has 70% of the internet advertising pie, as yahoo and microsoft acknowledge themselves. and is the deal really final already? until the ink has dried on the contracts, i'm bound to be sceptical of the "ad/search-merger" agreement between the two giants. i don't clearly see yet how this merger will be a boon for both as they claim; i'm getting the vibe it will not last the whole ten years as they originally plan. one will get royally f***ed by the other, them being giants and all the internal financial squabbles which may surface soon as they see the agreement benefits one more than the other; i foresee yahoo will get the shorter end of the stick as they will lose their search platform with the adoption of bing. notwitstanding that yahoo is getting 80% of advertising revenues, what will happen to them after the deal expires? bing stays with microsoft, and advertisers which yahoo cultivates in so many years will follow bing. yahoo would have been better off if they had allowed microsoft to buy them out earlier, instead of a stretched, lingering, slow death.as for google, they've got fully two years (by which time we'll all see if yahoo, powered by bing is a total success or not) to thwart the merger designed to eat up on their market shares.

[contactskn 2]

To compete with GOOGLE. It is really difficult, what I think is that they are pioneers in their field. It will be a tough job to beat them or compete with them. After all its the users who has to decide that which search engine they have to use. I personally am a fan of google like many others so I would like to use it for ever and want it to remain the best.?

[donneo 0]

Microsoft and yahoo officially advice their cooperation. To not be too painful for any of the parties, they have 10-year pact in which yahoo will be obliged for online advertising and Microsoft for searching . Both companies expect that the agreement will hurry the innovation and will create more value for advertisers and Web users. The first man to yahoo, Karol Bartc, says that cooperation will have to many "value for customers and the industry," while Steve Balmer of Microsoft, that TO ORDER agreement with yahoo I will give him the necessary powers for Bing compettition. Treaty provides prebaruvačot in yahoo to hot in the Bing, in a period of three to six months, by which company will be prefrli and its advertising platform, the platformata to Microsoft.

[Echo_of_thunder 1]

Microsoft and yahoo officially advice their cooperation. To not be too painful for any of the parties, they have 10-year pact in which yahoo will be obliged for online advertising and Microsoft for searching .
Both companies expect that the agreement will hurry the innovation and will create more value for advertisers and Web users.

The first man to yahoo, Karol Bartc, says that cooperation will have to many "value for customers and the industry," while Steve Balmer of Microsoft, that TO ORDER agreement with yahoo I will give him the necessary powers for Bing compettition.

Treaty provides prebaruvačot in yahoo to hot in the Bing, in a period of three to six months, by which company will be prefrli and its advertising platform, the platformata to Microsoft.

gee great, 10 more years Bots, Spam and Poor mail and messenger is all I see out of this deal. Don't get me wrong. I am happy to see them getting together. But I do feel things will be worse than ever. Just my feelings though.

[iworld200 0]

I don't see what is gained by this for user's. If people wanted to use Microsoft search engine then they would. I've been lately discovering some cool serviced yahoo has and hope that microsoft will keep them.

I agree with you.
i also find there is a much updated version of yahoo... its not as before...
i hope the same as you do

[fermin25 3]

Microsoft is making a good move. Since they launched Bing.com they?re growing and now the Yahoo colaboration wil put Bing.com more in the map. Maybe there are some nostalgy about the Yahoo search I know about friends that used like homepage the Yahoo Search Page. But this movement between two bing companies to compete Google I think is perfect. Google maybe have to be worried because it?s losing a huge percentage of rate of using since Bing.com is online.This alliance is not illegal. Why do this have to be illegal? Yahoo and Microsoft are making the impossible to beat their common competitor: Google. Google made alliance like this in the past: sharing and then buying Youtube, and other more examples...A year ago I thought that Google was undefeatable but now the things are changing and I think that is better the competition that the monopoly.That?s my opinion.Regards.

[africa 0]

I know that there is absolutely no way that yahoo and microsoft can catch up on google in terms of search unless if Google shuts down operations!! lol!The only things that will happen is that they might get a small slice of the cake. These guys are not as innovative, Yahoo has got some great services APART from search business so i feel quite secure and happy coz i am an avid fan of Google!Only time will tell from now on, i will be watching the searches a bit more closely

[kagerioshu 0]

Africa said it right. The main reason why Google is so successful lies with the people behind the company and their vision; these people are innovative geniuses. Yahoo has basically exhausted its intellectual resources but continues to offer fundamentally sound services (aside from web search), and Microsoft, while still a brilliant company, simply can't win against Google if it thinks their age-old strategy of brute force will win them dominant market share.Their aggressiveness may have worked for the browser wars, but this is much more than apples and oranges; being a bully is an impotent strategy when it comes to an internet service that can't be dominated or masked by local OS design. Even if Microsoft wants to whip Yahoo into submission, their combined might doesn't hold up to what Google provides, which is the sharpest and most efficient form of web search available. You can't fight that on any terms but the one it demands, which is to simply make a better product... and that's no easy task.

[The Simpleton 2]

A little competition is always good and this deal will only make google better - I'm sure of it. Being a monopoly won't suit google because it may come into bad light but in a situation like this everyone will know that it's gonna take more than an MS and a Yahoo to take down google from the top of the search engine rankings!