The terms of the agreement — which covers search only — is 10 years, in which Microsoft will have an exclusive license to Yahoo’s core search technologies as well as the ability to integrate them into Bing, the companies said. Bing will be the exclusive algorithmic search and paid search platform for Yahoo sites, but Yahoo will continue to use its technology and data in other areas of its business, in particular its display advertising. In fact, each company will continue to maintain its own separate display ad business and sales force, they said. Yahoo’s sales force will have direct relationships with both companies’ premium search advertisers, while the self-service ad platform for both companies will be Microsoft’s AdCenter, which will continue to set prices for the automated auction process.
Sounds like Yahoo just got neutered. I hope they spend more time developing their better products like Flickr now that their search engine is Bing with a Y! logo.
