Remember weeks ago when Wall Street Analysts felt that Ask.com was not as important to Google as it once was in terms of a sponsored search partner?
Well think again.
Yesterday Google and IAC (the parent company of Ask.com) extended their sponsored search and advertising agreement in a move which is worth an estimated $3.5 Billion to IAC over the next 5 years.
5 years is a pretty long time for such a partnership and shows that Ask.com and Google trust one another to provide enhanced results over the course of this agreement. One has to wonder however, if Google may just target IAC, or branches of IAC now that the company is spinning off different businesses, before this agreement is over.
Weeks ago Wall Street felt that the 3% to 4% share of the search engine market was not enough for them to content for such a partnership, but the overall power of the IAC network, with integrated search offerings powered by Ask.com and Google AdWords, is a strong contender in this market and yesterday’s announcement proves its worth.
I’d like to know if Microsoft was a heavy contender for this account, as Ask.com and Microsoft are already working together to offer Ask.com Sponsored Listings to Microsoft advertisers.