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Yahoo and Google to share web ads
submitted 6 months 8 days 1 hour ago by: SaadiaNasir : 2 comments
In response to Microsoft's efforts to take over Yahoo by offering a price of $44.6bn or higher, Yahoo and Google have joined hands for two weeks pilot implementation of sharing advertisement space. During this period Google will be able to place ads alongside 3% of search results on Yahoo’s website. This move is made to further frustrate Microsoft, maybe leading to a higher bid. According to Brad Smith, Microsoft’s General Counsel, this move would make the market far less competitive as 90% of the search market would be handed over to Google. On the other hand the investors response is very positive as they are expecting a 7% rise in share prices.
Comments
Classic case of 'cutting your nose to spite your face'
They have made an extremely damaging business decision based solely on their desire to fend off MS
A Yahoo MS partnership would have given Google a run for its money and would have been extremely good from the perspective of positive business competition
I totally agree with Khalifah's point.
In the whim to make Microsoft raise it's bid, Yahoo has foolishly shot itself in the foot by giving its biggest competitor and market leader a chance to take over its share.
On the contrary, joining hands with Microsoft would have proved to be a major blow to the monster that seems all pumped up to take on the whole world. The step taken by Yahoo would only prove to be an added factor in helping Google achieve exactly that.