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Isn't this a little strange? One major search engine using another search engine's PPC ads? I know the little ones do it all the time, but that's because they are usually affiliates of a PPC meta-feed.
Just a curiousity.
Also, Overture (who own Yahoo!) provides both PPC and organic listings to their rival MSN. However, MSN's organic listings will be provided by themselves in the not too distant future.
For AJ, they get the lineball share of the revenue without having to worry about any customer service costs.
For Google, they earn revenue without any costs assocaited with generating that traffic.
Just prior to the Google IPO, this deal was extended for a number of years.