Yahoo and Microsoft deal has ended. What's next?

June 13, 2008 - 9:48pm | author: ayny | News | Other themes

Google and Yahoo arranged a deal according to which Google ads will appear on Yahoo's search Web site.
Yahoo is going to buy some online ads from Internet search leader Google in an attempt to increase its profit.

After its stock plunged 10% on news that its efforts to revive takeover talks with Microsoft (MSFT, Fortune 500) had hit a dead end Yahoo announced its plans about the deal.

Now Google Inc.'s superior moneymaking system is expected to soothe to some extent Yahoo’s aggravated shareholders as an undesirable shareholder outbreak led by activist investor Carl Icahn are taking place.

With the help of Google's superior advertising technology Yahoo hopes to raise its annual cash flow by $250 million to $450 million in the first year of the deal.

In case the partnership gains antitrust approval it is expected to last up to 10 years.

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