More Advertisers Move Against Google-Yahoo Deal

WFA protests, writes to Europe

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The passage of time isn’t making people look upon the potential Google-Yahoo search ad deal with any more favor.  The World Federation of Advertisers has now joined a large group of organizations by stepping forward and objecting to the partnership.

At least a couple of the WFA’s reasons aren’t too surprising; it claims an agreement "will have a detrimental effect on competition" and "result in price increases."  The entity’s third objection is where something more interesting enters the equation.

WFA Logo

"Although Google and Yahoo insist this agreement is limited to North America, WFA believes that the effects will be global," according to a statement.  "[T]he substantial benefits for both parties in the US and Canada will almost certainly reduce their incentive to compete in other markets as they do today."

As a result, the WFA has written to the European Commission’s Directorate-General for Competition.  EU officials were already investigating the matter, but it looks like we’ve reached the point at which the partnership’s opponents are trying to (a) unearth every possible friend, and (b) assemble a united front.

Google and Yahoo must be less than pleased to see all this cooperation take place.  Still, there’s no sign that the companies intend to do anything other than move ahead with their deal sometime in October.

More Advertisers Move Against Google-Yahoo Deal
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  • http://www.openeyemarketing.co.uk Google Advertising Man

    Yahoo UK search marketing traffic quality has taken a nose dive over the past 18 months or so. Im hoping any teamwork with Google will make Yahoo a viable source of pay per click traffic again! Our client spend with Google/Yahoo was about 80/20 in Google’s favour but more recently is more like 95/5 as Yahoo’s traffic quality has got terrible, presumably because of its the expansion of its partner network which usually produces very poor site uesage and conversion stats for clients. Whereas traffic from Yahoo.co.uk or .com itself remains ok here in the UK, we cant opt out of its partner engines/sites like I believe you can do in the US.

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