Rochester,NY 7/31/2009 2:05:46 AM
News / Business

Microsoft Corporation., MSFT - Dismantel in Search expansion due ot Yahoo's Microsoft partnership

Yahoo Inc. invested billions of dollars in its Internet search engine during the past six years before realizing it made more sense to entrust the job to an outsider -- hearkening back to a conclusion the company's co-founders reached shortly after they started their Web directory in the mid-1990s.

 

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The latest shift in direction will put rival Microsoft Corp. in control of the search results and the ads that appear alongside search results on Yahoo's highly trafficked Web site, assuming the proposed partnership is approved by antitrust regulators in the United States and Europe.

Rather than spend its own money on expensive upgrades, Yahoo hired AltaVista to supplement its search engine and then later turned to Inktomi. Those decisions freed up more cash for Yahoo to spend on compelling content and developing other services that established its Web site as the biggest draw on the Internet.

 

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