Yahoo/Microsoft search partnership at risk as Yahoo approaches Facebook

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The Sunday Telegraph, via Business Insider, reports that Yahoo’s Marissa Mayer is in talks with Facebook’s Chief Operating Officer Sheryl Sandberg about a search tie up.

Apparently Yahoo has been looking to extricate themselves from their 10 year deal with Microsoft, launched in 2009, and Facebook has been looking to get into the search game, with Mark Zuckerberg famously noting  they are in a “pretty uniquely positioned to answer the questions people have”.

The Yahoo partnership has been central in keeping Bing, which has only 16% market share on its own, relevant against the Google behemoth, which has 66% share. Together with Yahoo, which is powered by Bing, Microsoft has access to around 30% of the search market in US. Loosing access to this stream of data would be extremely detrimental to the quality of Bing’s search results.

Of course it is likely that Microsoft’s deal with Yahoo is air tight, and it would not be so easy for Yahoo to change horses in the middle of the stream. Yahoo has declined to comment on the speculations.

Read more at BusinessInsider here.

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  • Lasp24

    bing is the best…

  • http://www.facebook.com/people/WhoiamisnotImportant-Mclaurin/100001452991690 WhoiamisnotImportant Mclaurin

    Bing has been good to me

  • Bugbog

    “..Bing be good to me..”

  • John

    First of all Bing is the best and Yahoo should be stupid to break a deal and go with search engines that are not as good as Bing.
    Second they have deal with Microsoft and if they want to break this deal then they have to pay which I don’t think in Yahoo position is a rational choice.
    Third Facebook itself use Bing for their search so this is like hey let’s break our deal and pay fine then go with Bing through third party again.
    Yahoo will go away sooner or later and seems like new CEO turns out to be one of those Google dumb people after all.
    Or she is just a Google spy that trying to kill Yahoo. Google is evil and I don’t think this will be a case. They do all kind of dirty jobs behind the scene to have monopoly, kill competition and spy on people personal life.

    • John

      Correction: I don’t think this will be a surprise case.

  • JohnCz

    There is no way this about search. It is not in Facebook’s interest to weaken the only real competitor to Google. Besides, Yahoo does not have the resources to develop/support search and has less market share than Microsoft. No, I think it is far more likely that these rumored talks are about other ties. Yahoo is no longer search company…it is a content company. So my bets are on Yahoo seeking to broaden distribution through exclusives.

  • Myclevername

    Doesn’t Microsoft own a big chunk of Facebook?

    • guest

      No. A couple of % only.

    • http://www.facebook.com/people/Gavin-Tom/100001144097567 Gavin Tom

      If im not mistaken they partnered up for certain things especially that, “see the thing that is related to your friends” search.

  • NegLewis

    Yahoo still has not learned a thing from their own experiences…
    They rejected MS’s $15b offer, they they closed a contract with MS and now they are trying to kill it.
    Yahoo is one of the most important brand in the world, but only Mail and Messenger are still … used by people – search, news ++ not so much.

    Yahoo has no (good) official app for iOS, for Android, BB, WP, … in mobile space they are == null.

    THIS should be fixed asap. Official apps for mobile space. Good apps. Free apps – (ads)

    • guest

      MS’s offer was for 44.6b.

  • inyourbase

    I’d love to love Bing, but outside of the US, it’s not that good unfortunately. I wish it were better. Google gives me better results, which is a big shame, because I want to use Bing.

  • Tips_y

    There was a time when I used Yahoo for my search needs, and then moved to Google completely. But two years ago I tried Bing. I liked the clean and uncluttered interface and never left.

  • Tips_y

    There was a time when I used Yahoo for my search needs, and then moved to Google completely. But two years ago I tried Bing. I liked the clean and uncluttered interface and never left. There was also a time when I moved from Hotmail to Yahoo. But Hotmail got better so I went back, particularly after I started using WP from December 2011. So you can call me an MS fan. There are iFans and there are FanDroids so what do I call myself?!! LOL!

  • Zicoz

    Suckerberg loves Microsoft, so this won’t happen