Close
  • Latest News
  • Cybersecurity
  • Big Data and Analytics
  • Cloud
  • Mobile
  • Networking
  • Storage
  • Applications
  • IT Management
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
Read Down
Sign in
Close
Welcome!Log into your account
Forgot your password?
Read Down
Password recovery
Recover your password
Close
Search
Menu
Search
  • Latest News
  • Cybersecurity
  • Big Data and Analytics
  • Cloud
  • Mobile
  • Networking
  • Storage
  • Applications
  • IT Management
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
More
    Home Blogs Google Watch
    • Blogs
    • Google Watch
    • Search Engines

    How the Google-Yahoo Deal Went Down

    By
    Clint Boulton
    -
    June 13, 2008
    Share
    Facebook
    Twitter
    Linkedin

      The best nugget from Google’s conference call about its search outsourcing deal with Yahoo came last, as in, during the last question.
      Asked how the deal, which allows Yahoo to run as many or as few Google ads on its U.S. and Canadian properties, came to fruition and what affect Microsoft had on it, Google CEO Eric Schmidt provided the most detailed response on the roughly 17 minute-long chat with financial analysts.
      First, Schmidt refused to admit Microsoft had any bearing on the pact, but in the next breath he said talks with Yahoo about a deal began in early February, making it clear that Microsoft was the impetus for the deal. Microsoft made its bid Feb. 1. The only question is how fast Schmidt dialed Yahoo CEO Jerry Yang on his iPhone.
      Schmidt went on to say the executives between both companies had social relationships over the years. This is true. Earlier on the call, Google co-founder Sergey Brin reminded everyone that he, Google co-founder Larry Page and Yahoo’s Yang and co-founder David Filo went to Stanford together.
      At Yang and Filo’s encouragement, Brin and Page turned Google into its own business, even partnering with Yahoo in 2000 to provide search for the company.
      “We began by saying ‘Is there a partnership that would make sense? Is there one that is strategic to both companies and in particular a partnership that would allow Yahoo to remain independent.”
      Then Schmidt turned cloak-and-dagger like, noting that the executives met in an “empty building that Google owned in an unknown and unfindable location for most of us.” Apparently, Yang, Schmidt Yahoo’s Sue Decker and others showed up, sometimes on bicycles.
      Does that sound like a bunch of kids meeting at the treehouse club or what? You can’t make this stuff up.
      Schmidt said that over the last few weeks the he and Yang spoke frequently about “pulling this thing off” and it came together over the last week and the deal was signed “just a few hours ago.”
      A chicken or the egg question that went unanswered: did Yahoo and Google ink their deal before or after Yahoo declared talks with Microsoft dead?
      I bet they had the deal ready to go and then Yahoo had it in its mind to have one more obligatory meeting with Microsoft with no intention to strike a deal with the software giant.

      The minute that meeting ended, I bet Yang phoned Google to commence signing the deal. Google unveiled it at 4 p.m. PDT, a bit later than TechCrunch and others originally reported.
      Some other nuggets on the call: Google was asked if there was an option to run Google display ads on Yahoo’s network, Yahoo being of course the display ad market leader with a solid but not overwhelming 20 percent share.
      “We looked at a lot of configurations like that. We settled on this one because it was the most straightforward way of doing business,” Schmidt said. “Certainly, we’d love to do more business with Yahoo over time.”

      Earlier, Schmidt had said Google believes its DoubleClick unit would boost its display ad share, but don’t rule out Google display ads on Yahoo.
      Also: Google’s Vice President and General Counsel Kent Walker said that Google has spoken to the Department of Justice about the deal and what it means to the market, but that no talks were held between Google and the European Commission for the same reasons.

      Avatar
      Clint Boulton

      MOST POPULAR ARTICLES

      Android

      Samsung Galaxy XCover Pro: Durability for Tough...

      Chris Preimesberger - December 5, 2020 0
      Have you ever dropped your phone, winced and felt the pain as it hit the sidewalk? Either the screen splintered like a windshield being...
      Read more
      Cloud

      Why Data Security Will Face Even Harsher...

      Chris Preimesberger - December 1, 2020 0
      Who would know more about details of the hacking process than an actual former career hacker? And who wants to understand all they can...
      Read more
      Cybersecurity

      How Veritas Is Shining a Light Into...

      eWEEK EDITORS - September 25, 2020 0
      Protecting data has always been one of the most important tasks in all of IT, yet as more companies become data companies at the...
      Read more
      Big Data and Analytics

      How NVIDIA A100 Station Brings Data Center...

      Zeus Kerravala - November 18, 2020 0
      There’s little debate that graphics processor unit manufacturer NVIDIA is the de facto standard when it comes to providing silicon to power machine learning...
      Read more
      Apple

      Why iPhone 12 Pro Makes Sense for...

      Wayne Rash - November 26, 2020 0
      If you’ve been watching the Apple commercials for the past three weeks, you already know what the company thinks will happen if you buy...
      Read more
      eWeek


      Contact Us | About | Sitemap

      Facebook
      Linkedin
      RSS
      Twitter
      Youtube

      Property of TechnologyAdvice.
      Terms of Service | Privacy Notice | Advertise | California - Do Not Sell My Information

      © 2021 TechnologyAdvice. All Rights Reserved

      Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.

      ×