Yahoo and Microsoft End Exclusive Search Partnership

Yahoo MSYahoo has announced the renegotiated terms of its search partnership with Microsoft, which will see the company moving away from relying exclusively on Bing to power its searches on desktop and mobile.

The partnership, first established in 2009, agreed that Microsoft would exclusively provide paid and algorithmic search services to Yahoo on desktop. Under the new deal, Yahoo will continue to serve Bing ads and search results for a majority of its desktop search traffic – but Microsoft will become the exclusive salesforce for Bing Ads, leaving Yahoo to focus on its Gemini ad platform.

Going forward, Yahoo will receive a percentage of revenues delivered to Bing Ads from Yahoo searches.

The announcement follows speculation last week that Yahoo was possibly intending to break the partnership entirely, or at least on mobile, with a view to relaunching its search engine entirely using in-house technology. The new terms of the partnership seem to lead credence to this idea, but only time will tell.

“Over the past few months, [Microsoft CEO] Satya Nadella and I have worked closely together to establish a revised search agreement that allows us to enhance our user experience and innovate more in our search business,” said Yahoo CEO Marissa Mayer. “This renewed agreement opens up significant opportunities in our partnership that I’m very excited to explore.”

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