In its most recent 2007 SEC 10K, Yahoo listed Google as its primary competitor: “We face significant competition from large-scale Internet content, product and service aggregators, principally Google, Microsoft and AOL…. Google’s Internet search service directly competes with us for Affiliate and advertiser arrangements, both of which are key to our business and operating results.” But now, with this proposed arrangement, Yahoo’s former principal competitor is its partner. The same 2007 SEC report submitted by Yahoo also cited the development of its “Panama” search ad system as one of its major accomplishments.
When the Senate raises questions this week on the deal, it should ask Yahoo how it could tell the SEC and investors one thing–and then quickly reverse itself.
source: Yahoo Form 10K. Filed February 27, 2008. Available at: http://yhoo.client.shareholder.com/sec.cfm?DocType=Annual
