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Emerging Details: Yahoo May Kill Microsoft Deal if it Fails to Match Google



Did you know that if the revenue per search, under a Microsoft/Yahoo partnership, fails to match Google’s estimated revenue, Yahoo can kill the deal?

Did you know that Microsoft must hire 550 Yahoo employees, whether they need them or not?

Did you know that the entire deal is in jeopardy if not completed by July 29 of 2010?

Did you know… OK, enough already!

While these fun facts might not make it into the next edition of Trivial Pursuit, they do make it into the latest 8-K filing from Yahoo. eWeek has a great recap of the fine print not previously announced, and it makes for interesting reading.

For example:

Yahoo may also terminate the deal if Microsoft exits the algorithmic search or paid search businesses. Moreover, if Microsoft decides to sell its algorithmic search or paid search services businesses, Yahoo will have a "right of first refusal and right of last offer to purchase such businesses."

Another interesting factoid. Microsoft has agreed to pay Yahoo $50 million a year, for the next 3 years, to cover transition and implementation costs. Wow! They could just throw Bing in a Yahoo IFrame and use that money to buy a boatload of over-sized Yahoo pens instead! ;-)

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  1. [...] tres años, para cubrir los costes de la transición e implementación de Bing. El comentario de Andy Beal: Wow! They could just throw Bing in a Yahoo IFrame and use that money to buy a boatload of [...]

  2. [...] Yahoo May Kill Microsoft Deal if it Fails to Match Google Did you know that if the revenue per search, under a Microsoft/Yahoo partnership, fails to match Google’s estimated revenue, Yahoo can kill the deal? [...]