Google and Yahoo seek to keep Ad Deal alive
Yahoo and Google are currently in talks with the US Justice Department. The aim being to prevent the much discussed interference in their troubled advertising deal. The negotiations are in their formative stages, at present and it is not clear whether or not the proposed changes to the deal will be amenable to either the US government or Yahoo and Google.
The deal, as it stands, would allow Yahoo to place certain Google search adverts on its website and is expected to earn the company hundreds of millions if it goes ahead. Proposed changes to mollify the US government reportedly include imposing a limit on the number of ads Yahoo can use and a promise that Yahoo would continue to compete with Google in terms of search ads.
This is happening as the lawsuit to block the deal builds momentum, with investigators worried that it would give Google too much power in the world of online advertising.
The online world itself is split on the issue - many are siding with the government, believing it would provide Google with a truly unassailable advantage in the market, while others are welcoming the deal, claiming that, paradoxically, it will enable Yahoo to be more of a competitor. Advertisers are worried about the deal driving up prices due to reduced competition.
Settlement talks are ongoing.
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