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A backlash kind of deal with Yahoo and Microsoft

If you have read about the latest discussion regarding Microsoft wanting to buy out Yahoo you will find that they have backed out. The story is also at news.com and the letter is also included here.

So they didn’t pull through in the end because they were not happy with the final amount they were offered for Microsoft to buy out Yahoo which was 44.6 billion dollars.

But to round this off Google are very closely related to Yahoo and always have been and if anyone who helped turn this round it has clearly been Google. Larry Page (Founder of Google) and Jerry Lang (Founder of Yahoo) went to uni together, so they have a closer relationship strangely even as competitors.

Then hours after with Yahoo and Google Advertising deal

Anyway, in between all this and just hours after, Yahoo made an arrangement with Google to display Google ads in their search results for Canada and US.

This means that this join venture will at least enable Google and Yahoo to battle off  Microsft to win the war of search.

Yahoo helped Google out in the early days and as a result Yahoo has always had a soft spot for them and as it turned out Google have more or less persuaded Yahoo to consider not doing the deal with Microsoft. It turned out that Yahoo and Google agreed on taking the deal instead in exchange for advertising.