Yahoo Retains The Right To Break With Microsoft

Posted: Aug 5 2009, 1:40pm CDT | by , Updated: Aug 11 2010, 3:40pm CDT, in News | Technology News

 
/* Story Top Left 2010 300x250, created 7/15/10 */ google_ad_slot = "8340327155";

Buy This Now On Amazon

When news of the partnership between ailing search giant Yahoo and Microsoft was first announced, both companies presented a fairly united front. Now, however, more details about the partnership have emerged. This new information paints a somewhat different picture of the relationship between both companies.

According to eWeek Yahoo still retains the right to split with Microsoft if the US revenue-per-search-query (RPS) rate for both companies drops below Google's. This means that if Microsoft can't 'bing' home the bacon, Yahoo can split and take their market share with them. After 5 years, the deal gets even better for Yahoo. They can pull out if just their RPS drops below Google's.

There are other provisions as well. If Microsoft decides to back out of the search business or sell their search assets, Yahoo gets right of first refusal. Both companies can also still nix the deal if they don't iron out all of the fine details by July 29, 2010.

This news doesn't really reveal anything other than that Yahoo and Microsoft are both prudent companies who realize that Bing is still perfectly capable of failure. Both corporations are girding their loins for an intense battle with the world search leader, but it isn't going to be an easy fight for either of them. If Bing stops being profitable (although, to be honest, Microsoft still hasn't made a penny off of it) they'll need to be able to drop it before it drags both of them down.

Holiday Gift Guides and Deals

Get your Holiday gifting inspired by Best Toy Gifts with High STEM Value and the Top 10 toy gifts under $10 if you are on budget. The most popular Holiday 2017 toy list include Fingerlings, Crate Creatures and more. Don't miss the new Holiday deals on Amazon Devices, including $29.99 Fire tablet.

This story may contain affiliate links.

This free App Solves You Holiday Shopping Problem


Download the free Tracker app now to get in-stock alerts on Fingerling, Luvabella, SNES Classic and more.

Latest News

Comments

The Author

<a href="/latest_stories/all/all/5" rel="author">Robert Evans</a>
The excitement about new smartphones, tablets and anything mobile drive Robert to unearth the latest rumors and developments in this fast moving space. He adopted 4G as soon as it become available and knows where the mobile market is going.
Robert can be contacted directly at robert@i4u.com.

 

 

Advertisement

comments powered by Disqus