Yahoo 2010 Annual Report Download - page 9

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Yahoo! Search is evolving to help people find the right information at the right time, whether by entering
keywords in a search box or by discovering search-powered experiences wherever they are online. Yahoo!
currently offers Yahoo! Search experiences and applications across connected devices, including PCs and mobile
phones.
On December 4, 2009, Yahoo! entered into a Search and Advertising Services and Sales Agreement (the “Search
Agreement”) and a License Agreement with Microsoft which provides for Microsoft to be the exclusive
algorithmic and paid search services provider on Yahoo! Properties and non-exclusive provider of such services
on Affiliate sites. Under the Search Agreement, Yahoo! will be the exclusive worldwide relationship sales force
for both companies’ premium search advertisers, which include advertisers meeting certain spending or other
criteria, advertising agencies that specialize in or offer search engine marketing services and their clients, and
resellers and their clients seeking assistance with their paid search accounts. Algorithmic and paid search
transitioned to the Microsoft platform in the U.S. and Canada in the fourth quarter of 2010. The global transition
of the algorithmic and paid search platforms to Microsoft and the migration of paid search advertisers and
publishers to the Microsoft platform are being done on a market by market basis and are expected to continue
through early 2012. Yahoo! continues to drive technology innovation with the enhanced Yahoo! Search
experience to users that surrounds the listings themselves, as served by Microsoft – such as rich results, Search
Assist suggestions, site filters, related topic suggestions, and more. See “Management’s Discussion and Analysis
of Financial Condition and Results of Operations—Search Agreement with Microsoft Corporation.”
Yahoo! Local is a local search offering which helps users find local business listings and related content such as
recommendations, user reviews, merchant photos, and maps.
Marketplaces
Our Marketplaces offerings and services include Yahoo! Shopping, Yahoo! Travel, Yahoo! Real Estate, Yahoo!
Autos, and Yahoo! Small Business. On these properties, users can research specific topics, products, services or
areas of interest by reviewing and exchanging information, obtaining contact details or considering offers from
providers of goods, services, or parties with similar interests. We generate revenue from listing fees, transaction
fees, and display and search advertising on many of these properties as well as from subscription fees for hosting
Websites for our customers, registering domains, and other services to small businesses seeking to maintain a
Website. We also have properties tailored to users in specific international markets, primarily our Asian markets,
that allow prospective buyers and sellers to enter into an online auction for goods for which we earn a posting
and transaction fee. Monday in Taiwan is one of these properties.
Media
Our Media offerings are designed to engage users with some of the most relevant and compelling online content
and services on the Web. We offer a majority of these services free of charge to our users. On our Media
properties, we generate revenue from display and search advertising and from fee-based services. Our Media
properties and services include the following:
Yahoo! Homepage (www.yahoo.com) is a navigation hub and starting point into Yahoo! Properties and the
Internet, via a PC or mobile device that brings together the most useful information and functionality from across
the Web, giving people one place to search, preview, and access everything that matters to them most.
Yahoo! News provides stories from the major news agencies that are aggregated by our editorial team and
augmented by in-house generated content focused on up-to-the-minute news coverage with video, text, photos,
and audio.
Yahoo! Sports offers free fantasy games, original editorial content, real-time statistics, scores and game updates,
broadcast programming, integrated shopping, and online sports communities. Yahoo! Sports offers mobile
applications for specific areas of interest to our users, such as Yahoo! Fantasy Football, along with sports content
via our Yahoo! Mobile site and Yahoo! Sportacular, a leading sports application on the iPhone and Android.
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