Google Beefs Up Lobbying Efforts In DC And Among Advertisers To Support Paid Search Deal With Yahoo


An extensive piece in the NY Times from Sunday discusses the behind-the-scenes drama of the Google-Yahoo paid search deal and how Microsoft has worked to derail it. Consumer and advertiser groups have also expressed objections to the potential arrangement. Entitled “Google Learns Lessons in the Ways of Washington,” it further describes how the Mountain View company is quickly upgrading its lobbying presence and efforts in the US capital.

The following paragraph captures the essence of the article:

Google is now extending its reach in Washington in ways big and small. Over the last few months, it has hired new outside counsel, former members of both the Clinton and current Bush administrations. It has also created Google policy fellowships, placing students in organizations like the Cato Institute that frequently research policies important to Google. And it sent executives, including Mr. Schmidt, to the Democratic and Republican national conventions to network with bureaucrats and politicians.

Simultaneously Google appears to be lobbying some of its advertisers to speak out in support of the deal. TechCrunch quotes an AdWords advertiser who was called by an attorney representing Google looking for public testimonials supporting the Google-Yahoo paid search deal:

I received a voicemail from an attorney representing Google yesterday so of course I called back (voicemail attached). We spend about 100K a month on AdWords so we’d apparently been targeted because of that. He was looking for large advertisers who use both Google and Yahoo (we do) who would be willing to provide public testimonials in support of outsourcing Yahoo’s search ads to Google.

Yahoo reports earnings at 5pm Eastern tomorrow and it’s widely anticipated that the company will feel some pain from weakness in the online display ad sector. Yahoo arguably needs the Google deal to monetize more of its queries and Google clearly wants it for access to a major source of new search traffic.

There’s widespread speculation that the US Justice Department is preparing an anti-trust case against Google amid growing concern about Google’s dominance of paid search, fueled by  objections to a Google-Yahoo deal by a number of groups and organizations.

Google and Yahoo previously said that they would implement the deal regardless of DOJ approval but are giving the government “more time” to review the arrangment and its potential impact on the market.



Greg Sterling is a Contributing Editor at Search Engine Land, and writes a personal blog Screenwerk, examining the broader world of media and advertising. He also posts at a Local Mobile Search, which is focused on the mobile Internet.

See more articles by Greg Sterling >


Share, Bookmark & Discuss This Article
More:


Keep Updated: News Via Email | News Via RSS Feed | News Via Twitter


See more stories like this in the Members Library! Check out the Google: General, Google: Legal, Legal: General sections of the Members Library where this story is filed. Members also get access to exclusive video content, a members-only weekly & monthly newsletter, plus more. Check out all the benefits!

Comments are closed.


RECENT COMMENTS

  • AdvertiseSpace said " Thank you for sharing, Google maps are very helpful in almost all categories of business. I am glad "
  • AdvertiseSpace said " I am a music person and I hope Google will make this all happen. This will serve as a big threat to "
  • AdvertiseSpace said " Great great article. Thanks for sharing this one. Social Search looks great, I can't wait to try thi"

See All »


FREE DAILY SEARCH NEWS RECAP!

Stay on top of all the search news with our daily summary, the SearchCap newsletter. View a sample ›

STAY CURRENT THROUGHOUT THE DAY

RSS Feeds

The Search Engine Land feed keeps you informed as news happens. SEE ALL FEEDS »

Upcoming Search Engine Land Conferences

Advertise With Us »

Search Engine Land produces SMX, the Search Marketing Expo conference series. SMX events deliver the most comprehensive educational and networking experiences - whether you're just starting in search marketing or you're a seasoned expert.


SMX Web Site » | SMX Difference » | SMX News »


Join us at an upcoming SMX event:

Search Marketing Now Learn more about search marketing with our free online webcasts and webinars from our sister site, Search Marketing Now. Upcoming online events include:


See more webcast topics »

TRACK US SOCIALLY
Upcoming Search Engine Land Conferences

Get Your Search Engine Land
Premium Membership!

Become a premium member today and receive:

  • Express commenting privileges & photo.
  • Exclusive videos & newsletters.
  • Discounts to our SMX conferences.
  • Access to "How To" & Other Archives.

Learn More

Upcoming Search Engine Land Conferences
Add to GoogleAdd to My Yahoo!Add to BloglinesAdd to NetvibesAdd to Windows Live