Microsoft, Yahoo Extend Search Guarantee

Microsoft will continue to pay Yahoo a guarantee to make up for the revenue-per-search (RPS) shortfall stemming from the companies’ 2009 search partnership. The latest year-long guarantee replaces one which expired on March 31, according to a Reuters report, citing Yahoo’s first-quarter filing with the SEC.

Under their agreement, Microsoft promised Yahoo it would earn a set amount for each search, or revenue per search. Since Microsoft hasn’t been able to hit the RPS benchmark, it has been paying the quarterly guarantee to Yahoo over the last four years. The company had previously extended the guarantee in late 2011 until this March.

While search monetization has improved over time through Microsoft’s AdCenter technology, the guaranteed is still needed to cover the RPS gap. Yahoo CEO Marissa Mayer said during the company’s quarterly conference call last month that she wanted to see the search business  grow faster and make it a “more immersive” experience.

Recommend (1) Print RSS
  • Nissan Taps Hatami To VP Sales, U.S.

    Nissan has named Derrick Hatami to VP, sales, for the U.S., reporting to Fred Diaz, senior vice president, Sales & Marketing and Parts & Service U.S.A. Effective Jan. 13, Hatami will lead the Nissan divisional sales and vehicle operations, light commercial vehicle and fleet functions. Hatami will be accountable for ...
  • Paul Edwards, Chevrolet's New VP Marketing

    Chevrolet has appointed Paul Edwards as new U.S. VP, Chevrolet marketing, replacing Chris Perry, who resigned last month. Edwards will report to Chevrolet Global Chief Marketing Officer Tim Mahoney, effective immediately. He has been executive director of General Motors’ Global Marketing since 2010, responsible for global media operations, agency management, ...
  • NASCAR Promotes Lynch To VP, Green Innovation

    NASCAR is promoting Dr. Michael Lynch to VP, green innovation. The elevation of his role from managing director to VP is meant to further NASCAR’s efforts to grow the sport’s green platform. As he has done over the past five years at NASCAR, Lynch will champion the adoption and implementation ...
  • Toyota Changes Corp. Comms. To Reflect "Total Toyota"

    Toyota has made new appointments in its North American corporate communications group in line with the company’s recently announced “total market” strategy, called Total Toyota or T2. The corporate communications function will now place an increased emphasis on establishing deeper relationships with influential Hispanic and African American communities in North ...
  • Dealertrack Buys Dealer.com

    Dealertrack Technologies has entered into a definitive agreement to acquire Dealer.com, which provides marketing and operations software and services for the automotive industry. Dealertrack will acquire all the equity of Dealer.com for approximately 8.7 million shares of Dealertrack's common stock and $620 million in cash. Upon closing, Gibbs will become Executive Vice President and Group ...
  • Nissan Goes Rogue To Tout 2014 Model Of Crossover

    The guy who helmed "The Italian Job" is behind a pair of cinematic TV spots for Nissan Rogue, via the Los Angeles office of TBWA\Chiat\Day. The spot, set to Sete's  “Y.A.L.A.”, uses the director's action-movie stylistics for a Walter Mitty-esque (no relation to the movie, which Jeep is involved in) ...
  • Chris Perry Gone From GM

    Chris Perry, who came to Chevrolet from Hyundai Motor America in 2010 has resigned according to GM. Perry followed his cohort Joel Ewanick, who had been VP marketing at Hyundai and became GM’s controversial CMO, and was let go last July. Perry was replaced last spring as Chevrolet's marketing chief ...
  • Toyota Creating Diversity Agency Group

    Toyota is creating a unified diversity market and media structure to address the fact that with a couple of decades Spanish-first demographics and those that identify as non-white will grow faster than any other.   Conill Advertising, Burrell Communications, and InterTrend Communications, have handled Hispanic, African American and Asian American ...
  • Direct Marketing Guru Irving Siegel Dies at 82

    Irving Siegel, who helped developed what is today known as databased marketing and analytical marketing, died on Dec. 17 in Miami. In 1962, Siegel created Getting To Know You International (GTKY), a direct mail marketing company which he built from a one-man operation into the largest nationwide new homeowner marketing company. ...
  • Sailthru Raises Another $20 Million

    Marketing technology firm Sailthru on Tuesday announced receiving $20 million in a third-round funding led by Scale Venture Partners. That brings the New York-based company’s total raised to date to $48 million. With the latest investment, Sailthru said it plans to expand its sales, engineering and marketing staff to accelerate ...
>> Raw Archives