Google's influence on Yahoo

Those of us who were in search engine optimization for many years know once yahoo results were completely powered by Google. Google used to have almost 90% market share excluding only MSN and its powered search engines. Where are we now today do we still see any relationships with Google. We recently had a major controversy where Yahoo had a deal with Google to display adwords ads in its search results. But Microsoft was not happy with it.
First we had yahoo make a deal with Google
"Yahoo said it had agreed to let Google put search ads on its site in what it called an $800 million annual revenue opportunity that would boost cash flow by $250 million to $450 million in the first 12 months.
Yahoo's ads and Google's would be pitted against each other in an auction style process that could make a deal easier to pass regulatory approval.
"Yahoo is being a reseller of Google whenever it makes sense and that is likely to be a lot of the time given how much more effective Google Web search ads have proven to be," Global Crown Capital analyst Martin Pyykkonen said."

Then Google decided to dump yahoo and the rift began:
"The U.S. Justice Department said on Wednesday it had told Google it planned to file a lawsuit to block the deal, under which Google would have placed its more lucrative ads on Yahoo searches.
"Had the companies implemented their arrangement, Yahoo's competition likely would have been blunted immediately with respect to the search pages that Yahoo chose to fill with ads sold by Google rather than its own ads," the government said.
Yahoo regretted Google's decision, saying it was "disappointed that Google has elected to withdraw from the agreement rather than defend it in court."

Labels: Google