Yahoo was opposed to Google partnership
Hollywood Newsroom is now Buzz Newsroom! Visit and bookmark our new site. Buzz is bigger and better, including sports, world news, gadgets and the entertainment news that you're used to. Same staff, just more stuff! Why Fark, Drudge and Huffington when you can Buzz!?Yahoo originally rejected the idea of co-operating with Google on search advertising, reaching the decision just prior to Microsoft’s failed takeover bid, it has been revealed.
Last month Yahoo conducted a two-week trial of running adverts on its search results that were provided by the Mountain View firm, instead of using its own advertising platform. Google chief executive Eric Schmidt has suggested that further co-operation between the two companies could take place in the near future.
But paperwork released yesterday as part of a Yahoo court case has revealed that the firm was formerly opposed to such a partnership.
A statement dated 30 January, the day before Microsoft made its original $44.6bn (£22.7bn) offer, dismissed any such collaboration as being bad for market competition.
“We are focused on long-term value creation rather than short-term gains,” said the document.
“Short-term analysis of the revenue potential of outsourcing monetisation may not take into account the longer term impact on the competitive market if search becomes an effective monopoly.”
- From here