Microsoft Says It’s Open To Search-Only Deal With Yahoo
Nov 19, 2008 at 3:57pm ET by Greg Sterling
Coming just 24 hours after the resignation of Yahoo CEO Jerry Yang, Microsoft CEO Steve Ballmer is saying publicly that Redmond is “open” to a “search collaboration” with Yahoo but not a total acquisition of the Sunnyvale company. The Wall Street Journal and Seattle PI report on the remarks, made during a Microsoft shareholder meeting. Meanwhile, Valleywag says that Yahoo has lost Sean Suchter, a key search executive, to Microsoft.
The search collaboration that Ballmer referred to would presumably be similar to the search (as opposed to acquisition) deal previously offered to Yahoo — essentially to have Yahoo outsource search (both organic and paid ads) to Microsoft in exchange for guaranteed revenues over a several year period. Danny did a detailed post on the prior Microsoft search offer to Yahoo (compared with the now defunct Google deal).
That offer, as with the larger acquisition offer itself, was previously rejected by Yahoo as undervaluing the business. It was also rejected because it was seen by Yahoo as removing a strategic component of the company’s larger suite of advertising capabilities.
Circumstances have dramatically changed since Yahoo rejected Microsoft’s offer. And today Yahoo might be more open to a modified version of the earlier Microsoft search proposal; one could imagine a version of the Google-Yahoo deal. However, Microsoft doesn’t have as many advertisers as Google and couldn’t offer as much inventory for “the tail.”
A Microsoft-Yahoo search tie-up wouldn’t incur the wrath of the justice department, however, because combined they would only control about 30% of the consumer search market in the US.
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 & Yahoo Ad Deal, Microsoft & Yahoo Search Deal 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!
TOP STORIES
SEARCH NEWS BRIEFS
FEATURES & ANALYSIS
RECENT COMMENTS
- KevinSpence said " The AP & other news companies forget how much of their content is syndicated. So alright, maybe "
- Avintrue said " So I would have to say that principle of pointing a finger with three pointing back at you is a good"
- fonegigsblog said " Wow! Looks like Google will truly be the one stop shop for digital advertising in the next few years"
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
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:
- SMX West - March 2-4, 2010
- SMX Munich - March 23-24, 2010
- SMX Toronto - April 8-9, 2010
- SMX Sydney - April 22-23, 2010
- SMX Advanced London - May 17-18, 2010
- SMX Advanced Seattle - June 8-9, 2010
- SMX East - October 4-6, 2010
- SMX Stockholm - October, 2010
Learn more about search marketing with our free online webcasts and webinars from our sister site, Search Marketing Now. Upcoming online events include:
- PPC Advertising & Geo-Targeting - November 12, 2009
- Making Online Marketing Relevant and Responsive: Tactics and A Tool for Success - November 17, 2009
- Ask the Search Engines: War Stories from the World Tour - December 1, 2009
TRACK US SOCIALLY
- Wall Street Journal Recommended Reading
- Ad Age Power 150 Blog
- Technorati Top 100 Blog
- Techmeme Leaderboard Source
- Best Search Engine Community/Forum
Featured sites from our Blogroll
- Search Engine Watch Blog
- All Things Digital
- Bizresearch – Search Engine Marketing Blog
- Search Marketing Now News
- Google Press Releases
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.
© 2009 Third Door Media, Inc. All rights reserved. Google, Yahoo & Microsoft logos trademark respective companies and used with permission.
