Yahoo’s problems have twice made mainstream news on the BBC website over the last couple of days.
First off, Google have decided that a long legal challenge in regards to their PPC advertising partnership with Yahoo simply isn’t worth the hassle they have to go through for the return they would get. This is likely to be quite damaging to Yahoo, as they were expecting to earn close to £500m per year from this.
The legal challenges arose as a result of anti-trust issues – with objectors citing that between them they would have more than 80% of the search market.
Yahoo has been under increasing pressure from its own shareholders since rejecting a bid from Microsoft earlier in the year.
Jerry Yang, one of Yahoo’s co-founders has now said "To this day the best thing for Microsoft to do is buy Yahoo," & "I don’t think that is a bad idea at all, at the right price whatever that price is. We’re willing to sell the company," at a Web 2.0 summit in San Francisco.
Yahoo are claiming that the Google deal being dropped wont affect them too much, but it seems that there are clear signs that these are potentially worrying times, and it seems clear that there are some issues that need to be resolved for Yahoo to stay around in their current form.
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