If the reports are to be believed, instead of a takeover, Yahoo and Microsoft have now been planning a partnership wherein no exchange of money is to be made.
Speculation claims that the deal between the two giants Microsoft and Yahoo will be announced very soon. With this, Microsoft hopes to get an upwards movement in the search market for its website Bing. Yahoo on the other hand, hopes to fetch a few quid on the back of the resulting ad revenue.
And the firing line for both the companies is none other than Google.
If we come to the specifics, it should imply that Yahoo will be powered by Microsoft’s Bing search in the future. Additionally, the advertising sales be handled by Yahoo so that it is able to pull in a huge revenue share for the first few years. Microsoft, on the other hand, has something else on its minds. It seems to be more concerned about Bing and making it everyone’s browser choice in the near future.
But lets not forget the fact that even if Yahoo has only an 8 percent of the market, it is still the second most popular search engine in the world. But with Bing still having a 3 percent, it joining hands with Yahoo makes a perfect long term business sense even if it has to forgo some money in the short run.
