Wednesday, July 29, 2009

Yahoo and Microsoft deal done



Yahoo and Microsoft have announced a long-rumoured internet search deal that will help the two companies take on chief rival Google.

Microsoft's Bing search engine will power the Yahoo website and Yahoo will in turn become the advertising sales team for Microsoft's online offering.

Yahoo has been struggling to make profits in recent years.

But last year it rebuffed several takeover bids from Microsoft in an attempt to go it alone.

Yahoo said the deal would benefit Yahoo's users and advertisers.

"This agreement comes with boatloads of value for Yahoo, our users, and the industry. And I believe it establishes the foundation for a new era of internet innovation and development," said Ms Bartz.

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