Yahoo goes with Google

Hours after saying that talks over a possible tie-up with Microsoft ended, Yahoo announced a deal in which some of Google's advertisements will appear alongside search results from Yahoo's own search engine. This arrangement is expected to generate $250 to $450 million in operating cash flow for Yahoo. Recent twists in events had resulted in Microsoft coming back a second time to court Yahoo. The first attempt was aborted by Yahoo, which refused to budge from its sky-high asking price. This time around, Yahoo explained it did not go with Microsoft was because while the Redmond company dangled $9 billion cash, Yahoo was only interested in its search business.

For more on the Yahoo and Google deal:
- check out this Network World article