Yahoo / Microsoft Partnership Getting Chippy
Yahoo / Microsoft Partnership Getting
Chippy
The partnership between Yahoo and Microsoft, in which Microsoft's Bing is supposed to eventually handle Yahoo's search business, is getting a little chippy. Over the last two years, Yahoo, once a giant among search companies, has seen its search-related revenue decline 35 percent from a peak of $551 million, set two years ago. This decline led Yahoo to partner with Microsoft two quarters ago, letting Microsoft and its Bing search engine to take over Yahoo's search advertising business in return for a 12 stake in its search revenue.
Over the two quarters in which Microsoft has handled search business, for Yahoo, its revenues have fallen by 8 percent, and that's before giving Microsoft its cut. Considering that the reason behind handing over search advertising was to reduce costs and make more money, Yahoo is definitely not pleased with these results, and is now pointing a finger at Microsoft. In a conference call this week, Yahoo CEO Carol Bartz hinted that Microsoft is under-monetizing the partnership.
The partnership between Yahoo and Microsoft, in which Microsoft's Bing is supposed to eventually handle Yahoo's search business, is getting a little chippy. Over the last two years, Yahoo, once a giant among search companies, has seen its search-related revenue decline 35 percent from a peak of $551 million, set two years ago. This decline led Yahoo to partner with Microsoft two quarters ago, letting Microsoft and its Bing search engine to take over Yahoo's search advertising business in return for a 12 stake in its search revenue.
Over the two quarters in which Microsoft has handled search business, for Yahoo, its revenues have fallen by 8 percent, and that's before giving Microsoft its cut. Considering that the reason behind handing over search advertising was to reduce costs and make more money, Yahoo is definitely not pleased with these results, and is now pointing a finger at Microsoft. In a conference call this week, Yahoo CEO Carol Bartz hinted that Microsoft is under-monetizing the partnership.
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