This week Microsoft and Yahoo announced that they had struck a deal, to come into effect in 2010, to make Bing the replacement for Yahoo Seach and to share advertising revenue. People around the internet were up on arms about how this is going to harm Google and how Google is going to have to change their model because of this but I really don't think that this is going to affect Google in any way whatsoever.
This deal is essentially going to remove Yahoo Search and replace it with Bing so all the Yahoo Search users will now be using Bing, removing one competitor of Google, who will not lose any users. In fact Yahoo Search might not like Bing and decide to make the switch to Google, giving Google more users and more revenue.
On the Advertrising side, Google will not be affected at all, they are not going to lose advertisers and may gain some from Microsoft/Yahoo because they may be turned off by the advertising model. Microsoft/Yahoo may look like they are getting more advertising revenue but Google will lose none, essentially meaning that Microhoo are making themselves look good while not harming there main competition.
Overall, this deal is going to be good for Microsoft and Yahoo as they will get more money from each other and, in the case of Bing, more people searching using their service. Google, however will not be affected much by this deal and they really shouldn't be worried by it.
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