Professional Documents
Culture Documents
July 28, 2009 Microsoft offered to buy all of Yahoo for $40 billion. Last summer, Microsoft offered to buy Yahoo's search business for $1 billion. 2months ago, Yahoo CEO Carol Bartz said it would take "a boatload" of money to get her to sell Yahoo's search business to Microsoft. Two weeks ago, a report suggested that the finally-impending deal price tag would be "several billion." And now the deal is done Bing will become the default search engine on Yahoo, creating a search player with close to 30% market share of search queries, compared with Google's 65%, according to ComScore data. Yahoo is likely to take on exclusive representation of Bing inventory to eliminate channel conflict and complexity for advertisers, but not before both sides unwind the thousands of advertiser relationships and proprietary systems through which many large advertisers buy search ads. Microsoft's AdCenter is expected to be the sales-technology platform. Deal leads Yahoo is likely to take on exclusive representation of Bing inventory to eliminate channel conflict and complexity for advertisers, but not before both sides unwind the thousands of advertiser relationships and proprietary systems through which many large advertisers buy search ads. Microsoft's AdCenter is expected to be the sales-technology platform. Through this agreement with Yahoo!, we will create more innovation in search, better value for advertisers and real consumer choice in a market currently dominated by a single company, said Ballmer. Success in search requires both innovation and scale. With our new Bing search platform, weve created breakthrough innovation and features. This agreement with Yahoo! will provide the scale we need to deliver even more rapid advances in relevancy and usefulness. Microsoft and Yahoo! know theres so much more that search could be. This agreement gives us the scale and resources to create the future of search. This deal fits the long-term strategic direction of Yahoo! to remain the worlds leading online media company and Carol Bartz has the full and unanimous support of the Yahoo! Board behind this deal, said Roy Bostock, chairman, Yahoo! Inc. This is a significant opportunity for us. Microsoft is an industry innovator in search and it is a great opportunity for us to focus our investments in other areas critical to our future According to the Wall Street Journal, Yahoo and Google are closer than ever to forming a deal that would see Yahoo increase its revenue by as much as $1 billion per year and throw a wrench into Microsoft's plans post-acquisition. And while the Journal is reporting that the Yahoo-Google deal may have a stipulation in it that says it can be dissolved if Microsoft acquires the company, I'm not so quick to believe that any deal between the company won't put the hooks in Microsoft. Microsoft on the Google-Yahoo! Deal: The Future of Internet Advertising, Consumer Choice and Competition Oct. 1, 2008 Microsoft General Counsel Brad Smith testified before Congress about the companys concerns with the proposed Google-Yahoo Internet search deal as it relates to consumer choice and privacy, as well as pricing for online advertisers and content creators.
Press Releases
Microsoft Voices Concerns about Google-Yahoo Deals Implications For Competition, Internet Innovation, Consumer Choice and Privacy (July 15, 2008)