Yahoo! Inc. and Microsoft Corporation today announced that the companies have finalized and executed the definitive Search and Advertising Services and Sales Agreement and License Agreement in accordance with the letter agreement announced in July.
Later, by end of October they were to announce the final terms over which both the entities have agreed upon. But, the deadline was extended informing in the filing, “Given the complex nature of the transaction, there remain some details to be finalized”.
“Microsoft and Yahoo believe that this deal will create a sustainable and more compelling alternative in search that can provide consumers, advertisers and publishers [with] real choice, better value and more innovation,” the companies said in a brief statement.
Microsoft will begin powering Yahoo’s search engine early next year provided the government approval goes through. Even after the deal is completed and approved of, google will still be processing twice as many search requests as their competitors.
The companies expect the deal to close the transaction by early 2010 subject to approval from Justice Department. The developments to follow would be interesting to observe and how Yahoo!-Microsoft JV shape up to change the web experience!