Microsoft and Yahoo finally announced the preparations for the signing of an agreement on close cooperation. The first details are as follows: Yahoo will use search technology Bing, but instead will assume all advertising care. Thus, Yahoo will keep search brand, but in all of its portals renounces its own search technology. Now advertisers will not have to be satisfied with the services of only one Google, owns 70% of the market for online advertising partnership Yahoo and Microsoft will make the search giant is seriously warning. The final agreement will be signed early next year. Both companies are confident in the success of the company, otherwise the duration of the partnership was not a decade. Microsoft will pay 88% of Yahoo search revenue from the traffic to the site Yahoo.

Together, Yahoo and Microsoft will own 30% of the search market, which in the opinion of Steve Ballmera greatly help us in improving search technology. At the forthcoming partnership already reacted Google, vice president of search department said the negative impact on competition because of a reduction in the number of the leading players in the market from three to two.

Yahoo told the details of the forthcoming agreement with Microsoft. As it became known, at least 400 employees Yahoo will come under material support Microsoft, but the cost at the time of transfer to the Yahoo search Bing Software giant will allot $ 150 million In addition, approximately 150 employees will be located in “limbo” state between the two companies, helping them the integration of services. For three years, every year, Microsoft will provide Yahoo for $ 50 million as reimbursement of expenses not covered search agreement. In the past five years, ten-year contract, Yahoo expects to increase earnings – Microsoft will increase the percentage of income deductions for advertising in the Yahoo with 88% to 90%.