Yahoo will serve Bing results
businessweek.com
businessweek.com
Essentially microsoft gets two things out of this deal, they get to keep their cash while getting the same effect for free and a big boost for bing.
Yahoo gets to control their cost a bit better.
It is about time Yahoo stopped pretending to be a search company. Concentrate on growing and monetizing the new media properties they have and they could be very successful. In fact it's the only sane play at this point.
sooner or later bing would overtake it, given its superior quality and msft's deep pockets. by selling new, bartz gets to bargain while ysearch is still worth something. two years from now after bing had eclipsed ysearch organically, she would have had little to bargain with
search was bound to become a two-horse race...the capital needed to compete is enormous, and it has been clear that yahoo won't be able to go the distance
expect 3k layoffs or more...besides the payouts from msft, the headcount reduction will be a major gain on the balance sheet for bartz
bartz will have to actually stop selling off and closing bits of yahoo and actually try growing something. that challenge still awaits her