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Microsoft Yahoo deal

Yup you heard me right, after so long of on-off discussion, the speculations, the rumors, well it’s finally sealed it seems. Some call the pact as Microhoo deal where Microsoft will make great use of Yahoo! search queries, while Yahoo! capitalise their search-advertising sales market from the collaboration.

It is said the deal is final, although not inked in detail, the announcement is set to be done officially tomorrow. All Things Digital reports that the negotiations are complete and only formalities are left.

The deal is reported that there will be no upfront payment to Yahoo, and Yahoo will not sell display advertising for MSN consumer sites, contrary to rumors. It will be more of a revenue sharing for two companies. Clearly this indicates both companies still want their own identity left intact from the deal.

Expect Yahoo to start selling search ads on Microsoft sites and on Bing too. Spokespeople from both Microsoft and Yahoo have declined to comment.

Well such a pact can only be good I reckon. Let’s hope it turns out alright for us publishers.