Yahoo! to test Google's AdSense

By Lisa Kerner

Charlotte, N.C., April 9 - Yahoo! Inc. said it will begin a limited test of Google Inc.'s AdSense for Search service for an expected two-week period.

The test, which will deliver relevant Google ads alongside Yahoo!'s own search results, will be limited to no more than 3% of Yahoo! search queries, according to a Yahoo! news release.

It was previously announced that Yahoo!'s board of directors is exploring strategic alternatives, including the exploration of potential commercial business arrangements.

Yahoo! recently rejected an offer from Microsoft Corp. to acquire the company in a stock and cash deal valued at $44.6 billion, or $31 per share.

Microsoft commented on Yahoo!'s proposed test, saying "any definitive agreement between Yahoo! and Google would consolidate over 90% of the search advertising market in Google's hands," making the market far less competitive.

"Our proposal remains the only alternative put forward that offers Yahoo! shareholders full and fair value for their shares, gives every shareholder a vote on the future of the company, and enhances choice for content creators, advertisers, and consumers," Microsoft general counsel Brad Smith said in a statement released on Thursday.

Yahoo! provides internet services. The company is based in Sunnyvale, Calif.

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