Yahoo! and Microsoft finalise search deal
Remain hopeful that transaction will close by early 2010
Yahoo! and Microsoft have reportedly finalised and executed the joint search and advertising deal that was announced earlier this year.
The ten-year Search and Advertising Services and Sales Agreement and License Agreement will see Microsoft power Yahoo!'s search, while Yahoo! will take over search sales for both companies.
A joint statement released at the time said the news meant that "advertisers no longer have to rely on one company that dominates more than 70 percent of all search", indirectly referring to search giant Google.
Full implementation of Microsoft's search technology in Yahoo! is expected to take about 24 months once the companies get the green light of approval from regulators, which is anticipated by early 2010. When it does finally happen, Yahoo! is predicting an annual operating income of about $500 million and expenditure savings of nearly $200 million.