Google & Yahoo working on a 3-Year Deal

Today, during a call with investors about earnings, the Yahoo management team presented the investors with a bit of a confidence booster in news of a partnership with Google. According to the press release containing details on Yahoo’s business highlights: In October, the Company reached an agreement with Google that provides Yahoo with additional flexibility to choose among suppliers of search results and ads. Google’s offerings complement the search services provided by Microsoft, which remains a strong partner, as well as Yahoo’s own search technologies and ad products. Yahoo & Google Partnership History You may have forgotten, but this isn’t the first time the two search giants joined hands. The first came in 2000 when Google won the partnership when Yahoo moved away from Inktomi. Yahoo’s search results have rarely been “Yahoo” search results, often being supplied or managed by a provider. In many of these deals, Yahoo not only benefits from the service of a respected search platform but in the deal of 2000, Yahoo gained shares of Google, that was privately-held at the time. Wonder what those stakes look like today?! During the deal that lasted from 2000 to 2004, Google search results were mixed with Yahoo searches, creating a blend that Yahoo’s algorithm manages. Although Yahoo didn’t have a very large market share at the time (or now) they didn’t care and in the renewal of the Google deal in 2001, the main change was in the Yahoo directory, when it went from being a free platform to a $299 paid system. Since then, Yahoo has connected with Yext for business listing. It’s kind of their strategy, to just generate revenue through partners and businesses that believe in Yahoo. If you’re a statephile, you can check out Danny Sullivan’s article on the old partnership. This first partnership lasted until February 2004, at which time Yahoo returned to using it’s on algorithm and technology for search results and ad delivery. What should be noted is that each geographical area, such as the UK and Japan, have their own versions of the search results. Part of a global or multilangual optimization strategy involves ensure use of language support for traffic from different locations. You may have seen URLs containing .eu, .au, .fr, or others. In 2010, Yahoo Japan, chose to use Google technology, powering 90 percent of web searches, instead of following the U.S. based Yahoo that elected to use Microsoft Bing in 2010 (NY Times). Chief Executive of Yahoo Japan Masahiro Inoue was quoted as saying, “At the present time, we feel there are quite a few areas where Microsoft is not yet ready, Google is one step ahead in Japanese-language services.” Nuances of the Current Deal In this 2015 deal, Google isn’t taking over the results just augmenting the results. After signing a 10-year deal with Microsoft Bing in April 2015, that mirrored the one from 2010, Yahoo had renegotiated the rights to partnerships and the ability to use other technologies in the results, aside from Bing’s. As reported by Vindu Goel in July of this year, “Under the revised deal, Yahoo can use its own search technology or that of other providers for up to 49 percent of its search results.” What this really means is that Bing is used for 51% of all Yahoo search results. The other 49% is up to Yahoo to fill in. That means it can be Yahoo, Google, Blekko, you name it. This deal and many others with Yahoo focus on ad revenue more than the search results. And that ladies and gentlemen is part of the reason why...

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Yahoo Partners With Yelp

Are you an avid Yelper? Do you love reviews and learning about businesses before you patronize them? Yahoo is stepping up their local game by integrating Yelp reviews into the search results. The details are still behind the walls, but what has been released is that the partnership will result in Yelp content being associated with Yahoo search listings. Search Engine Journal’s Matt Southern points to the integration of not only reviews but photos and local content, such as maps. What About Yahoo’s Partnership With Bing?! The relationship between Bing and Yahoo has become contentious since Marissa Mayer took over in July of 2012. Although much of Yahoo’s business is outside of the search and American market, the search side has the ability to generate a large percent of revenue; if the usability is comparable to the user experience and brand loyalty of Google. With her background from performing as Google’s VP, Mayer is looking to a third-party like Yelp for local elements versus an integrated ‘competitor.’ Bing and Yahoo have a partnership that runs through 2015, which may be why the details of the Yelp integration are still behind closed doors; Yahoo maybe looking for a way out. Marissa Mayer – Business Genius In their story about this Yelp announcement, PC Magazine points to the fact that Google attempted to (allegedly) purchase Yelp in December of 2009 only to be outbid by Yahoo by $200 million. Who might have all of the details of all of these businesses and transactions?! Marissa Mayer. Yahoo is making calculated movements, and the only way to make data-driven decisions is to have the information. Well played Ms. Mayer, extremely well played. The Wrapper Yelp isn’t for sale and is doing pretty good for itself using real-time content generation and user reviews as their primary product. The value Yelp adds to the internet cannot be understated, this value is something Yahoo wants to leverage. Users WANT to use Yelp, they like it. With declining market share and little interest from the internet community, Bing doesn’t appear to be a key component of the Mayer online strategy. For Yahoo, this move is surely a sound one, all that remains is to see how they go about implementing...

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