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The US Department of Justice will be probing into the advertising and search alliance that has been endorsed between Microsoft and Yahoo.


Microsoft-Yahoo Deal To Face Antitrust Probe
Last Updated: 2009-09-12T12:34:24+05:30
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The US Department of Justice will be probing into the advertising and search alliance that has been endorsed between Microsoft and Yahoo.
 
Yahoo and Microsoft had announced their alliance in late July for fighting against Internet’s No. 1 search engine, Google.
 
According to the deal, the search and advertising tools will be provided on Yahoo pages by Microsoft, for which it will receive 12-percent revenue cut during the first five years of the deal.
 
Even though the antitrust probe will happen, the deal will not be blocked as the combined market share of Microsoft and yahoo via this deal will be 50% of that held by the Web search giant, Google.
 
Both companies said they did not expect the deal to face antitrust obstacles. "As we said when the agreement was announced, we anticipated that this deal will be closely reviewed and we are hopeful it will be approved by early 2010," Microsoft spokesman Jack Ward said.
 
Yahoo stated that both companies "firmly believe that the information we will be providing will confirm that this deal is not only good for both companies, but it is also good for advertisers, good for publishers, and good for consumers."
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