Yahoo! Inc's CEO Marissa Meyer undertook an unsuccessful attempt to ebd a ten year search advertising agreement with Microsoft Corp for a deal offered by Google. This was confirmed by individuals familiar with the transaction's details.
As soon as Mayer took the helm of Yahoo, she sought to have the agreement dissolved, but was met with stiff resistance from Microsoft CEO Steve Ballmer. The agreement with Microsoft was to provide technology for Yahoo Web Searches has not met the projected numbers. The agreement is set to end by 2020 and was formalized by Ballmer and the CEO Mayer replaced, Carol Bartz.
Despite the poor performance of search ads on Yahoo, Microsoft had agreed to pay for the revenues guaranteed under the agreement until March 2014. This extends the arrangement that had come to an end last month.
Mayer had previously met with Google representatives and had a verbal agreement as to an alternative search advertisement agreement when the Microsoft arrangement ends.
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