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Google and Yahoo agree to postpone advertising deal

By: Maria Perilli at Blue Interactive Agency

Submitted on Fri, Oct 10th, 2008 10:12 am

Amid all of the controversy and press regarding the potential advertising agreement between online mogul Google and its smaller counterpart Yahoo, the two tycoons have agreed to a brief delay in proceedings.  The brief delay is reportedly a courtesy to the Justice Department, allowing them more time to investigate the alleged antitrust implications of the deal. The extra window of time will give regulators extended time to fully investigate the proposed deal, ensuring that all interests are aligned legally and in the best interest of all parties involved.  Those who oppose the deal include several major advertising agencies and groups who claim the advertising partnership would give Google dominance and an unfair advantage over the search advertising market and could lead to a monopoly or increased prices. In a statement Yahoo responded:  “We have had discussions with regulators and look forward to responding to their questions about this agreement.”  Google also responded with a statement: “As we are still in conversation with the Department of Justice, we have agreed to a brief delay in implementing the agreement while those discussions continue.” Both parties are cooperating with the proper investigative authorities, and in the interest of time and money are hoping things are settled as quickly as possible.  The company’s valuable time equals money, and for this reason they plan to go ahead with the advertising deal in which Google will begin placing ads alongside some of Yahoo’s search results as early as October.It is important to note that when Google and Yahoo initially announced the advertising deal in June, they voluntarily gave regulators 100 days to review it. By Blue Interacitve Agency. Continue Reading
Contributed By:
Maria Perilli
Blue Interactive Agency

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