Feeds

Google! aborts! Yahoo! deal!

Advertisers and regulators win the day

Intelligent flash storage arrays

Google is abandoning attempts to push through its ad-sharing deal with Yahoo!

The two sides put the deal on hold while it was investigated by lawyers from the Department of Justice. The agreement would mean Google provided adverts for Yahoo! properties. Lawyers were concerned any tie-up would give Google an effective monopoly in online advertising. Several attempts were made to reassure the DoJ, including a committment that Yahoo! would continue to sell its own ads, or would install some kind of monitoring system to check prices were fair.

Reading between the lines it seems that it was unhappiness from Google's advertising clients as much as concerns from the DoJ that caused the deal to die.

Google's policy blog said: "However, after four months of review, including discussions of various possible changes to the agreement, it's clear that government regulators and some advertisers continue to have concerns about the agreement. Pressing ahead risked not only a protracted legal battle but also damage to relationships with valued partners ... But we're not going to let the prospect of a lengthy legal battle distract us from our core mission."

The post continues, somewhat bafflingly: "That would be like trying to drive down the road of innovation with the parking brake on." Quite.

The end of the deal leaves Yahoo! out in the cold, where it could again attract the attention of Microsoft.

Rebel shareholder Carl Icahn, now a board member at Yahoo!, is again mumbling about a resurrecting a search-only deal with Microsoft. Yahoo! shares are currently at $13.30, compared to the $33 a share Microsoft offered for the firm in May. ®

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.