Google has revealed that it may scrap Yahoo deal if the US Justice Department will go to court over it. Mentionably, the department has have apprehensions that online advertisement partnership would give the two companies a monopoly of the internet. Arguably, the two companies together have around 80% of the web searches on the internet.

 

On the other hand, Yahoo has revealed that it has been informed that the Justice Department, as part of natural procedure is seeking advice from an outside consultant. Yahoo conveyed that much should not be read into it, and it is confident that the deal is lawful. Factually, the Department has hired an antitrust litigator who will be reviewing evidence for a possible legal challenge to the deal.

 

According to an anti-trust lawyer, Howard Morse, because they aren't swapping stock or cash, Google and Yahoo could have launched their advertising partnership shortly after it was announced in mid-June. But, these firms had realized the Justice Department would have antitrust concerns and keeping that in mind the companies voluntarily agreed to postpone the partnership's starting date until October.

 

Reports say that in case the regulators found the two companies against laws, the government would have two options, i.e. the government could either try to negotiate revisions to the partnership with the two companies or it will sue them to block the deal. Another possibility is that it can file a lawsuit for temporary restraining order to prevent the companies to work together till trial concludes.