It looks like Yahoo is all set to outsource its web search advertising to Google as announced last week. Citing Wall Street Journal, Reuters is reporting that Yahoo has successfully tested Google’s service in delivering ads to its search engine results page.
Should the ad outsourcing push through, which seems to more likely happen now that the test has been conducted, Yahoo hopes to concentrate on its other advertising product – the online brand advertising where Yahoo is thriving more.
Whether this pending move will successfully fend off Microsoft’s acquisition threat or strengthens Yahoo’s possible partnership with Time Warner’s AOL remains to be seen in the coming days.
Yahoo, together with Google needs to fend off first a possible antitrust case, should their ad partnership become successful. Microsoft would certainly not take this just sitting down. Expect Microsoft to be on the forefront of groups who will possibly protest the Yahoo-Google advertising partnership.
Now, should the impossible happens, and Microsoft finally give in to Yahoo’s demand, it would be interesting to know how it will affect Google in the end. What I can’t really deduce up to now is what’s in it for Google really? For Yahoo, whatever happens, it will still be a win-win situation. For Microsoft it’s more on the middle ground. But for Google?
