Last week news started heating up again about the possibility of a Yahoo & Microsoft partnership (or perhaps merger) wherein Yahoo would begin using Microsoft’s Bing search technology to power Yahoo Search, and also serve ads on Yahoo Search results and throughout the Yahoo Network which would be also powered by Microsoft AdCenter.
So Yahoo Search, which has been powered in the past by Inktomi, Altavista & Google in the past, may soon be powered by Bing.
There were reported meetings within Yahoo last week about the possibility of a merger or partnership, and with Microsoft performance slipping last quarter, along with Yahoo coming in a bit under Wall Street expectations, the option for the two companies to work together on search and take advantage of a combined 30%+ market share in an attempt to challenge Google may indeed make sense.
This morning, AdAge.com dropped the bomb that the Yahoo Microsoft deal should go through this week :
The deal, which would make Microsoft a more credible competitor to Google, is likely to be announced this week, and seems likely to be based on a revenue share, not on a big fat check upfront, as some at Yahoo had hoped.
Adding these details on the possible partnership :
1. Yahoo would be compensated from a share of revenue from the sale of search ads and will not be paid upfront.
2. Yahoo would be allowed to sell search ads on Bing.com as well as its own site, giving it more search inventory to sell and making it a bigger player in the search sales front.
3. Yahoo will save millions by not having to maintain its own search infrastructure.
What are your thoughts on a Yahoo & Microsoft search partnership? Please feel free to share them below after taking this poll :







Although both Yahoo and Bing is much better off joining forces against Google.
But I would like to see how Google will react when this becomes reality.
No i don’t think so that this is true, Bing is been run on its own database.
rumors and legends. This one is quickly moving into the Internet legend column at this point. Kind of like the email coming out of Europe saying how Microsoft is giving away millions to a lucky email recipient – just pass it along to all of your friends and be in the running for the money…
I don’t doubt that this may actually happen at some point, yet even combined they’ll not be a threat to Google.
Think about it – how is this going to change things? Is the deal going to cause Google users to say – “Hey! – Yahoo’s now got Bing search results so I’ll leave Google, because I really like Bing’s results better but the UI is terrible, and Yahoo’s UI is to die for but their search results were previously dog meat…”
Seriously – I think the only winner scenario here is that Balmerland and Bartzville are just going to prop up their own stock value a bit in the end, not make any inroads into Yangtown’s user base…
Just sayin
’3. Yahoo will save millions by not having to maintain its own search infrastructure. ‘
And will cease being a search engine!
I don’t think it will ever happen, but if it did it wouldn’t make any difference to Google, well not much anyway. Even if they combined and made Binghoo (or whatever) it would just mean two small shares of search engine usage percent combined to make a slightly larger percentage, but leaving Google with the same percentage it has now.
Say if Google has 80%, Yahoo has 15% and Bing has 5% (I know the figures aren’t right), then if Bing and Yahoo join forces it just means they’ll have 20% in total and Google still has its 80%.
It won’t happen anyway, Yahoo has too much invested in other areas, deals with country specific companies like BT in the UK where BT Broadband installs BT/Yahoo browser and emails onto your computer.
Eliminating choices for searchers won’t help Microsoft beat Google. They need the Yahoo! technology out there, running independently of their own brand, in order to develop a strategic momentum that Google cannot counter.
Right now millions of people use Yahoo! instead of Bing or Google. Forcing those people to use Bing will chase many of them right into Google’s arms.
That’s also true Michael, I never thought of it that way. There isn’t a lot of love for Microsoft as a company, some people even profess to hate it, whereas I’m pretty sure no one really dislikes Yahoo as a company, so they would be ruined if they joined MS.
While a union between Yahoo and Bing may provide them with a larger market share, I believe it will be those who use their services who will lost out. Competition, as they say, is a good thing. It compels them to continue to improve and provide services at reasonable costs.
i dont think bing & yahoo partnership wll make any diff… to google .Most peple like the simple presentation of google than complex bing & yahoo.
yes, it would create differance in market of search ingines but it is not to bigger in sance actualy it is persumed to be . the market share of google may be deviated by 10- 20% by this merger ( otherwise partnership).
I don’t think that will ever happen and even if they join hands wouldn’t make much difference.
.-= Vikram´s last blog ..FileCleaner : History Cleaning Software =-.
As advertisers we like adcenter for the great conversion rates of Bing’s traffic.. With Yahoo though we are forced to buy clicks from junk partners that send nothing but fake clicks.. It’s a daily job to monitor all the new bad-domains to block.. And you have to PAY for all that.. :P
With the current merge of Yahoo and Bing let’s hope the new “team” will do it RIGHT by giving the advertisers the choice to pay only for real yahoo/bing searches.. just like Adwords and adcenter allow (for now?).
Just my 2 cents
Cheers!