News Report 2

News Report 2
Google CEO won't delay Yahoo deal any further
By: Michael Liedtke, AP Technology Writer, Sep 18, 1:51 AM EDT
url:
http://news.wired.com/dynamic/stories/G/GOOGLE_SCHMIDT?SITE=WIRE&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2008-09-18-01-51-24

“Google Inc.'s chief executive said Wednesday the Internet search leader won't delay its proposed advertising partnership with rival Yahoo Inc. even if government regulators need more time to assess whether the alliance will diminish competition.” Google and Yahoo are looking to merge their efforts together in the internet search engine world. The process has been slow and drawn out because if the merge is allowed to happen, it will give Google and Yahoo 80 percent of the U.S. market for advertising connected to Internet searches. Eric Schmidt, Google’s CEO, isn’t willing to wait longer than the October deadline he set for this deal to go through. “Time is money in our business,” as Schmidt told reporters in a seventy-five minute interview.
Antitrust regulators are taking a hard look at the partnership, and recently hired an outside lawyer to help review evidence in the case so far. Along with the lawyers delaying the process, Microsoft is lobbying hard for this deal not to go through. Google and Microsoft are big time rivals and Microsoft doesn’t want Google growing any bigger than it already is. Adding fuel to the fire, Yahoo rejected Microsoft’s last takeover deal offer of $47.5 billion or $33 per share, which left shareholders furious. Although Yahoo would rake in significantly more profits than Google, Google’s CEO still sees this as a bright and promising partnership.
I do not know what the government will decide about this deal because it will be a massive partnership that would control 80 percent of the market. If this deal goes through Microsoft could lose ground on the always growing Google empire.