Yahoo to Test-Drive Google’s AdSense

by admin April 10, 2008 at 3:37 pm

Desperate for an alternative to a Microsoft takeover, Yahoo explores a partnership with archrival Google.

For more than two months, Yahoo’s official line about Microsoft’s unsolicited bid is that it is exploring “strategic alternatives.” The pundits (and some shareholders) would argue that no viable alternative exists to the offer from Microsoft.

But today, Yahoo made a move. The Web pioneer announced that it was conducting a trial of Google’s AdSense for Search product to place ads alongside Yahoo’s search results.

Outsourcing search advertising to Google (NASDAQ: GOOG) has been a long-simmering rumor as one of Yahoo’s few options to remain independent in light of the acquisition bid, which represented a 62 percent premium over Yahoo’s value at the time.

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