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Although alternate paid placement providers... are currently available in the market, the paid placement market is consolidating, (for example, Overture Services, Inc. was acquired by Yahoo! Inc. and Espotting Media is merging with FindWhat.com), and we face the risk that we might be unable to negotiate equally advantageous terms with such providers.
And there you have it. Yahoo's dominance is enough to scare the heck out of Jeeves, which is probably the case for other portals and search providers.
The Y! deal was touted as good for Overture's survival but it's having a negative effect on gaining and retaining clients.