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Google and Yahoo! in talks | | 2008/05/09 | | Search engines Yahoo! and Google have entered discussions into a possible internet advertising partnership, it has emerged.
The two search giants are believed to have mooted the idea of striking a deal which would allow spaces on Yahoo's sponsored search results to be purchased through either Google's or their own booking system, reports the Daily Telegraph.
Explaining the incentive of such an agreement for California-based Yahoo!, Sanford Bernstein analyst Jeffery Lindsey told the newspaper: "Google can obtain almost twice as much revenue as Yahoo! for a search advert."
He added: "By outsourcing to Google it could literally double the size of its paid advertising business."
The news comes as Microsoft has ended its interest in a take over of Yahoo!, which is the fourth most popular search engine in the UK.
While Google leads the way for search engines in the UK, Yahoo! controlled sites still top the search rankings stateside.
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