Google Walks Away from Yahoo Advertising Deal
After it became clear that the Department of Justice would try to block the Google-Yahoo advertising deal, Google today announced that it has decided to walk away from the deal. Google was clearly not interested in a protracted legal battle that would potentially alienate its partners. In its own press release, Yahoo points out that the deal was only 'incremental' to its product roadmap, though Yahoo did not discuss the potential financial fallout from this announcement.
Is Microsoft Still Interested?
Now, of course, the specter of another round of rumors and announcements around a possible merger between Yahoo and Microsoft will rear its head once more. After all, the idea of the advertising deal with Google was born out of the perceived necessity to fend off a Microsoft takeover of Yahoo, and Microsoft itself lobbied against the Google-Yahoo deal in Washington.
However, it is also worth pointing out that, at this point, Microsoft itself might not have too much interest in acquiring Yahoo anymore. After all, Microsoft itself is now trying to transform its own business and a merger with Yahoo would only be a distraction at this point.
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Yahoo faces a bad year in its history. Actually the "unpacked" result between Yahoo and Google is not only depend on the decision of Department of Justice but also the Google's intention. Google vs Yahoo are rival forever!!!
Like the above story, it will be the same whenever Microsoft goes! 10 years passed and tomorrow too!
Google and Yahoo will always be rivals. Only the common enemy Microsoft can join them together, but only for a short period of time.
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You said, "After it became clear that the Department of Justice would try to block the Google-Yahoo advertising deal, Google today announced that it has decided to walk away from the deal."
I don't agree with that assessment. The DOJ is nothing to Google (see history here: http://www.boingboing.net/2006/01/19/-doj-search-requests.html) and they have a legal team that either equals or bests them.
I think the key is damaging their "relationship with valued partners." They glossed over it in the post, but I suspect it is the real reason for the decision.
Money talks.
I so agree, money does talk!
I'm not sure who is worse, politicians or computer corporations but the tactics and methods are quite the same.