Google and Yahoo, the delayed partnership

Google and Yahoo have agreed to delay the launch of their cooperative advertising plan until at least next week, while the plan is reviewed for US Anti-trust law violations that have been brought up by competitors. The plan is for Yahoo, who is currently the second ranked search engine is the U.S., to display Google ads on search result pages where they do not have paid advertising. The increase in revenue would be substantial for Yahoo, and allow them to wean away from Google after a period of time.

The arguments over whether this violates the anti-trust regulations are currently being examined and the partnership debated. If the partnership come to fruition, Google and Yahoo will control over 80% of the US search marketing. Those in support feel it will enable Yahoo to be true competition with Google who currently leads the market.

The proposed date for the partnership is October 11 but if it is still under review by US Justice review, there will be a short delay until they are done reviewing. A concern about how extensive Google is becoming creates more problems when trying to innovate and grown, more concern by competitors and advertisers is being raised. Similar to the obstacles Microsoft confronted as it attempted to continue to grow.

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