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Microsoft (MSFT) paying Yahoo (YHOO) several billion dollars upfront to take over its search advertising business and guarantee certain payments back to Yahoo.
There is also a display advertising element to the deal, which would likely have Yahoo take the lead in selling premium advertising for the companies.
Unless there is some major glitch, there might finally be a search and online advertising deal struck between Yahoo and Microsoft at long last.
Top executives at Microsoft–including SVP of the Online Audience Business Group Yusuf Mehdi, search head Satya Nadella and top digital exec Qi Lu, as well as others–have all flown down to Silicon Valley from their Redmond, Wash., HQ today to iron out the remaining issues, which seem to have to do with the deployment of technology.
If all goes well, the deal could be announced within the next week, sources at both companies said.
On the other hand... if someone comes knocking on my business door with billions in hand I'm sure I'd say come on in too.
Next there's Ballmer losing face -again- since he proclaimed he didn't need Yahoo! and they'd do it on their own. Sure the Marketing spin will be ready and it's not the first time he's lost face.
Then there's the spin on it in the press that Yahoo! needs MSFT in order to fight Google. This sounds like wishful thinking from the Microsoft fans. Google clearly aims at hurtign Microsoft (be no evil is all about that). But Yahoo! has the same spirit as Google, not the same spirit as Microsoft and Google isn't out to hurt Yahoo! Despite what the google haters seem to think Google actually helped Yahoo! in the hostile takeover by Microsoft. Sure you can spin it that they didn't want Microsoft to get a hold of Yahoo! (they'd be stupid if they did want that), but there are other ways (far more aggressive) than to be friendly and help them.
Bing's success has not proven it will last beyond the advertising spending, nor that if they use other means to promote bing it will last the scruteny of oversight (e.g. the EU might (should) object strongly to MSFT pointing their users of IE, windows, office and other monopolistic products over to bing by default. They've been burned there a number of times, sometimes you'd expect them to learn their lesson, if not -there's always a new record setting fine-.
I think it's a pity Yahoo! can't seem to find a way to be MSFT-free.
So it is now two long time losers trying to catch up with the champ.
Twitter, facebook, myspace etc should have come from their guys.
This will become a total mess at corporate and product levels that will make Google even more mighty.
Not good though for all of us.
In any case, if it does not work out, the source said, “this will be it…we will all finally go our separate ways and be done with it.”
Let's hope this is the end result and we can get past this!
It's like a marathon with runners from Google, Yahoo! and MSFT. Google wins every race by a long shot and then Yahoo! & MSFT figure that if they tie one of their legs together so they have 3 legs instead of two they will be able to beat Google in the race.
If MSFT and Yahoo! join forces, I see Google market share on a steady uphill climb.