Yahoo Strokes Google, Puts on Show for Microsoft

Yahoo is in a pickle. Microsoft is setting up for a hostile takeover of Yahoo and Yahoo is doing everything it possibly can to puff it’s chest and look valuable.

Part of this strategy is apparently to woo Google. Yahoo was to run a 2-week trial of running Google Adsense ads on the Yahoo properties. Yahoo, for it’s part, said it was a limited trial and only running on with a 3% coverage cap on Yahoo.com. Then, what WAS to be a 14 day trial all of a sudden turns into 8 days, with Yahoo and Google then announcing they might get married. Yahoo is announcing that a deal with Google is much closer.

Well, that’s about the shortest engagement in the history of search.

This sudden change just makes this trial period look like a big show with Microsoft being in the audience. It is certainly in Yahoo’s interest to look extremely valuable and thwart Microsoft’s plans. For it’s part, it is certainly in Google’s interest to have this story out there, too.

As Rob Hof says over at Tech Beat:

But we’re supposed to believe that after Yahoo spent years battling Google to little avail, after having multiple chances and much Wall Street encouragement to outsource its search ads to the leader, suddenly Yahoo and Google are now going to be best buddies? After a couple of days of ad tests?

This is a show. Yahoo is courting Google and wanting to make babies. They also adopt another little baby, IndexTools, in order to bring on an analytics package (the holy grail when it comes to a good advertising package).

Only thing is, I’m not sure any of this is going to stop Microsoft from stealing the bride.

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