Yahoo and Viacom announced a deal where Yahoo search and marketing will appear on Viacom’s web properties.
Across a crowded Internet, Sumner and Terry’s eyes met. Their relationship, blessed by teeming hordes of well-coiffed lawyers, has been consummated in the form of a multi-year agreement. At least, the press release suggests a favorable agreement.
Viacom has been making a bigger push with its online initiatives in recent months. It purchased kid-magnet web site Neopets.com and has been looking for a way to strengthen its brand online. In Yahoo, Viacom gains a partner well-versed in the online advertising game.
It’s all about the revenue. Viacom gets improved search capabilities of its web properties, relevant targeted advertising, and a cut of the profits. Yahoo can use the Viacom relationship as a big selling point for its Content Match and Sponsored Search products.
MTV, Nickelodeon, CBS News, and several other Viacom online media properties will get the Yahoo makeover. In the release, Viacom Digital Media Group senior vice president Peter Glusker notes Yahoo’s “breadth of offerings” as an important factor in partnering with the Sunnyvale portal company.
Yahoo recently wooed iVillage away from what had been a lengthy ad deal with Google in favor of its services. The Viacom deal gives Yahoo another win over its hated Mountain View rival. With content apparently a factor for Viacom, Google just may need to spend those new stock issuance proceedings on partnering with (or even buying) AOL, just to get access to a significant content library.
David Utter is a staff writer for Murdok covering technology and business. Email him here.
