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It’s Yahoo’s Turn to Defend the Search Ad Deal with Google

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It’s Yahoo’s Turn to Defend the Search Ad Deal with Google

If Google can manage to put up a website explaining their search ad deal with Yahoo, Yahoo for its part can only manage to make a post at the company’s blog, explaining what’s in it for Yahoo and how it is going to affect the search ad market. But the post nonetheless was made by Yahoo’s President Sue Decker who said that it’s now time for them to write some myth-busting explanation.

Like Google’s past statements, Ms. Decker’s myth-busting post concentrated on issues that were being raised by critics whom Ms. Decker said did understand the deal. These issues relate to the deal being bad for Yahoo’s search ad business and the deal causing both Yahoo and Google to dictate prices on search ad inventory.

The bottom line according to Ms. Decker:

  • Yahoo! will use this agreement to help us become a stronger competitor in all aspects of online advertising; and
  • Yahoo! is not exiting the sponsored search business. We plan to remain a strong player in sponsored search.

She then proceeded on explaining what the agreement is all about, the rationale behind its structure, and her thoughts on the implementation of the search ad deal.

Ms. Decker also cleared the fact that Yahoo is not abandoning their advertisers by letting Google advertisers into the Yahoo search results page. On the contrary, they are exploring ways to strengthen Yahoo’s relationship with their publishers through the recently announced Digital Advisory Council.

Ms. Decker then concluded her explanation by reiterating that the deal will not mean Yahoo and Google setting the price for search term ad targeting. But it will still be the advertisers who will set those prices, like it has always been.

“It’s a great opportunity for Yahoo!, and we’re committed to implementing it in a way that produces the most value for advertisers and users. Ultimately, that’s the only way we can provide value for Yahoo!’s stockholders,” said Ms. Decker.

Hopefuly, some people from the DOJ will be able to read the post as well as visit the YahooGoogleFacts site.


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Arnold Zafra

Arnold Zafra writes daily on the announcements by Google, Ask.com, Yahoo & MSN along with how these announcements effect web ... [Read full bio]

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