As recently as late October there were serious concerns that the complicated deal that was literally several years in the making was going to be delayed. Mountains of legal documents are a normal occurrence when big companies come together. This deal, however, was more complicated than most since these two giants in the online space are ‘coming together’ to form what is hoped to be a real competitor to the dominant position in search marketing held by  Google .

So how does this impact the search marketing industry? Well, back in July when the press release version of the deal occurred Mashable broke down the impact as follows :

  • Microsoft’s Bing will now be the search engine on all Yahoo sites.
  • Yahoo will provide the relationship sales force for both companies’ premium search advertisers.
  • Each company will maintain its own separate display advertising business.
  • Self-serve advertising for both companies will go through Microsoft’s AdCenter platform.
  • Microsoft will compensate Yahoo through a revenue sharing agreement on traffic generated on Yahoo’s network.
  • The term of the agreement is 10 years.

Now that the ink is just officially drying on this deal , the question is: when will the search marketers of the world see the impact? Well, there is the small issue of the deal being vetted by the government. It may be fair to assume that Google may have an interest in ‘making waves’ as to whether this kind of union is something that is good for business in general. Most agree that it is but if you were Google wouldn’t you have something to say?

Conventional wisdom says that by the end of 2010 Yahoo’s search engine will be Bing. Since the end of 2010 is an Internet year away let’s just wait and see.

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Originally published Dec 7, 2009 3:04:00 PM, updated October 20 2016


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