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The American Antitrust Institute (AAI) has waded into the Yahoogle debate with a 22-page white paper that worries that the Yahoo-Google alliance will turn into “a black hole that swallows up Yahoo.” And it says that if the government can’t negotiate a consent decree that “preserves Yahoo’s [economic] incentives to remain in the paid search market” and compete against both Google and Microsoft – the only potentially pro-competitive feature in the deal is the money it would throw off that Yahoo could invest in its Panama advertising platform – then the Justice Department should “seek an injunction to prevent Google and Yahoo from implementing their agreement.” read more
When Yahoo rolled out of bed this morning its stock was at an abysmal $11.75. Then it lost another 40 cents in early trading as the market plummeted again. At lunch time, Microsoft CEO Steve Ballmer threw it a lifeline. On stage at Gartner’s gathering this week in Florida, Steve suggested that a Yahoo acquisition – or at least a search partnership – still makes economic sense to Microsoft – not that Yahoo doesn’t still think it’s worth 40 bucks a share. read more
Bing Makes Gains, But Is Google Actually Suffering? (PC World)
PC World - Microsoft is gaining new ground with its freshly rebranded Bing search engine, some recently released data suggests. Bing, the research finds, grew 0.8 percent during its second week online, adding onto a 2.2 percent jump it saw during its debut week. One question that has yet to be answered, though, is how that growth is affecting other search engines -- namely Google.
In the absence of the regulators investigating the proposed Yahoo-Google deal saying either “aye” or “nay,” Google CEO Eric Schmidt told the press yesterday that Google will start putting search ads on Yahoo’s sites on or about October 11, the implementation date set by their agreement. To delay any longer would be to lose money, he said.read more
Remember how Yahoo and Google carefully restricted their deal to the US and Canada so they could tiptoe past the persnickety European Commission? Well, it turns out the slumbering giant woke up anyway and has been informally reviewing the controversial web search advertising axis since mid-July on the theory that the pact could violate European price-fixing rules (oooo!, heavy antitrust stuff) and regulations on sharing sensitive business information. read more
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