Media conglomerate Viacom said Tuesday that it chose Yahoo to provide search advertising for 33 of its Internet sites in a high-profile boost to Yahoo's new Web ad system. The system, dubbed Project Panama, launched in early February and is seen as a key test of Yahoo's ability to offer advertisers a competing technology to that of Web search leader Google.
Viacom said the multiyear, exclusive advertising partnership with Yahoo covers broadband sites for its MTV, VH1, Comedy Central and Nickelodeon television networks and could expand to more than 140 additional sites worldwide.
Y needs to do something to attract more advertisers. A few of my clients are old hands who hate G from back in the day and insist on using the Y ads. The payout difference is severe and it's easy to see why: Y has poor ads which are not compelling. And G is just getting better and better as more people discover it. (You might be surprised to learn that search advertising is still an unknown to many folks.)
Good luck to Y. They are good people trying to do good work. And they are getting better. The Viacom deal is just one sign among many that they are making progress.