According to the Justice Department’s Antitrust Division, it cleared the search agreement between Microsoft and Yahoo. The reason to such action is the possibility of growing competition with Google.
Last July such companies as Yahoo and Microsoft signed a 10-year deal according to which Yahoo’s search would be powered by Microsoft’s Bing search engine on the back end but at the same time Yahoo would remain its appearance as well as feel of its search experience.
Moreover, Yahoo would use Microsoft’s search ad platform getting profit from 88 percent of traffic acquisition costs or search advertising partners.
In order to decide whether approve the deal or not, the DOJ got information from Yahoo and Microsoft as well as other market participants about the deal.
According to the DOJ, the deal will better the ability of Microsoft to rival with Google as it will provide it more scale.
One should note that Bing’s market share has increased and now it totals 11.3 percent, but still the DOJ considers the growth of Bing could be much greater, as it also serves for Yahoo.
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