And the ridiculousness continues… you’d think companies this size, the size of Yahoo and Microsoft, wouldn’t need to stoop so low, but it’s happening. Yesterday Yahoo announced that they were going to test out Google’s AdSense for their search service. Yes, you read that right, Yahoo is “partnering” with Google. Why would they do such a thing you ask? Well obviously to try and prove a point to their shareholders and to Microsoft.
At this point it’s just a two week limited test. Yahoo will use Google’s AdSense for no more than 3% of Yahoo search queries as part of their effort to “explore strategic alternatives to maximize stockholder value, including exploration of potential commercial business arrangements.” So after the two weeks is up, what will happen? Yahoo says that this “test” doesn’t mean that any type long-term relationship will form, at least not right away.
Of course Microsoft responded to this already in a press release saying:
Any definitive agreement between Yahoo! and Google would consolidate over 90% of the search advertising market in Google’s hands. This would make the market far less competitive, in sharp contrast to our own proposal to acquire Yahoo! We will assess closely all of our options. Our proposal remains the only alternative put forward that offers Yahoo! shareholders full and fair value for their shares, gives every shareholder a vote on the future of the company, and enhances choice for content creators, advertisers, and consumers.”
If this “test” happened to lead to a broader type of partnership between Yahoo and Google, it’ll obviously be a pretty hard kick in the stomach for Microsoft.
Thanks for the tip Omar and Google!
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Tags: Google, Web Sites, Microsoft, Yahoo


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yahoo in talks with aol
http://www.downloadsquad.com/2.....perations/
i dont see the buyout of yahoo going through the eu for Microsoft.
microsft and aol should split yahoo
microsoft should just buy the search part of yahoo for $50 billion.
all the content and im,email should be bought out by aol
It is not ’stooping low’ at all - Yahoo!’s management would be shirking their responsibilities to their shareholders if they were to *not* so carefully manage this negotiation.
That’s their job.
Rolling over and playing dead, taking whatever was offered would be inappropriate.
Yahoo! feels that they are not getting a fair deal for shareholders, and there are real people behind all of those shares that are subject to suffer the consequence.
As it stands, one of the largest Yahoo! shareholders has announced that he is standing behind Yahoo! on this one, and was offended at Microsoft’s recent ultimatum.
I completely agree that rolling over and playing dead would be inappropriate. Just accepting Microsoft’s offer without condisering their options would simply be stupid. However, the fact that they just “partnered” with of all companies, GOOGLE, is the part that for me is “stooping low.”
Ballmer looks so mad. Is he covered in sweat? How would you like reporting to that guy. Yikes.
Yeah, I’m pretty sure he is a sweat ball in that picture. Searching Google it looks like this is a better image:
http://www.tuaw.com/media/2006/03/ballmer.jpg