Microsoft and Yahoo have sealed the deal

By Angela Gunn | Published July 28, 2009, 9:13 PM

UPDATE: Microsoft and Yahoo issued joint statements this morning announcing their search partnership. As expected, Bing will power Yahoo's search and Yahoo will deal with sales, advertisement and "providing consumers with great experiences with the world's favorite online destinations and Web products."

Microsoft CEO Steve Ballmer said, "This agreement with Yahoo! will provide the scale we need to deliver even more rapid advances in relevancy and usefulness. Microsoft and Yahoo! know there's so much more that search could be. This agreement gives us the scale and resources to create the future of search."

The agreement will last 10 years and will go into full effect within two years, pending regulatory approval. It pertains only to PC-based search, and does not deal with Microsoft and Yahoo's email, IM, display advertising, or any other Web properties or products, and has no exclusivity clause for Yahoo's mobile search.

In terms of privacy, the agreement limits the amount of user data shared between the companies to the "minimum necessary to operate and improve the combined search platform."

Multiple reports around the blogosphere and mainstream press say the long-rumored search deal between Microsoft and Yahoo is all over but the inking, and will be formally announced within the next 24 hours.

Kara Swisher at All Things D has been leading coverage this evening, and reports the following:

• Bing will be the new default search engine on Yahoo.

• No money is changing hands up front; the focus of the arrangement will be revenue sharing, as previously reported by AdAge.

• Yahoo will sell search ads on but its site and Bing, but Microsoft's AdCenter tech will underpin it. (Where does this leave Panama, Yahoo's high-profile ads-platform rollout? Well...)

If the portion of the rumors concerning Bing are true, it marks the passing of the Web's first great mainstream search project. Begun in April 1994 as "Jerry and David's Guide to the World Wide Web" and hosted at akebono.stanford.edu, the site received one million hits by year's end and within a year had not only its own URL but its own magazine, Yahoo! Internet Life. Its original underpinning was a human-built taxonomy with humans working to sort submitted sites, which allowed for high-quality results but became increasingly difficult to sustain as the Web exploded.

A combined Bing-Yahoo search may give niche-dominant Google some pause, but the two together still represent under 30% of the market -- less than half Google's share.

Neither Microsoft nor Yahoo is talking to anybody yet; more news as we know it.

Comments

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Wow! Finally Microsoft has reached a deal Yahoo for an internet search partnership. Will the newly announced deal between giants Microsoft and Yahoo be a good thing? Got to wait and see. But atleast Microsoft and Yahoo deal is straightforward and not complex at all and ofcourse, the negotiation talks have been going for long. I was just curious to know all the past negotiations between Microsoft and Yahoo so collected all the articles and links (more than 200) related to the current merger and the previous events or negotiations between Microsoft and Yahoo. If you are interested check the link below.
http://markthispage.blog...nd-yahoo-from-2007.html

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So Microsoft will "win" and dominante by hook or by crook. Acquire a good product, do useless innovation on their own and sit on the fat rewards. I was expecting Yahoo search to power Bing but the reverse happened. Bing was not accurate or more relevant than Yahoo search. It was always in the 3rd place. Thank god we have Google who won't get sold to MS. MS, why not acquire Adobe too to get rid of Flash and Dreamweaver and other competing products?

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Snow Leopard is not about new features. It's about rewriting a great deal of the OS to make it much faster and more optimized. The approach is not very different from Windows 7. There is only so much an OS can offer. What else would you like it to do for you? Bring breakfast in bed? This whole "bells and whistles" approach to newer OSes is coming to an end, and thank goodness for that. Give me an OS that is fast, and will not require me to spend a lot of money on newer hardware just to get basic functionality, and I'll be happy. And both Apple and Microsoft have learned their lessons and are doing just that. In Microsoft's case, it's even more needed as OSX is already a much better performer than Windows Vista.

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Have you all tried the blind search comparison of Bing, Google and Yahoo? When I do that the differences are minor:
http://blindsearch.fejus.com/

/lalf

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Yea...$54 BILLION profit is pretty irrelevant...

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Yeah, considering nearly everything coming up in snow leopard has been out for every other OS for years....seriously Apple is now giving you the new added feature of being able to restore items you threw away! OMG its so revolutionary!

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You SOB stop trolling

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I must admit I'm particularly amused by the new 'cut and paste' adverts for the iPhone. It's not like cut and paste is a 35-year-old invention or anything *rolls eyes*

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The only reason I use Bing is because it's the default search engine of IE 7 at work and I'm too lazy to change it.

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Wow...that IS lazy...

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Bing i find great, much better on the eyes than any other search engine as of late and the results are good for most things... i've fully switched over in FF, i tried having Google and Bing in my search options but i'd always go to Google by instinct, had to remove it entirely lol ... i think i have that instinct under control now

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Great, go out and own google.

Purity12
BromaCleanse

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