Decker explains implications of Yahoo!-Google deal

29th September 2008

The president of Yahoo! has moved to combat rumours related to the company's search advertising deal with Google in a post on the Yodel Anecdotal blog.

Sue Decker explained that, contrary to the opinions of some, the two search engines are not aiming to set higher ad prices through the agreement, which will see Google ads appear alongside Yahoo! results for certain terms.

She said that the deal has been set out so that there is no obligation for Yahoo! to display Google ads and highlighted the fact that the agreement will in fact make Yahoo! a stronger player in the pay-per-click advertising market.

The post followed the launch of yahoogooglefacts.com, a website developed by both companies that seeks to clearly show how the agreement will work.

"We are not in any way going to be coordinating or setting search term pricing with Google. The fact is that advertisers set prices by bidding in our real time auctions," Ms Decker remarked.