Canada Reviews Yahoo-Google Ad Deal

The ad deal between Yahoo and Google is going to face scrutiny from Canadian authorities.

Back in June Yahoo and Google announced a deal to allow Google to run ads on Yahoo search for four years, with extensions possible. The agreement arrived while Yahoo was in turmoil after rejecting Microsoft’s takeover bid, and the arrangement is set to go live this fall.

However, there might be hurdles before that can happen. Bloomberg News has reported that a senior lawyer with Canada’s Competition Bureau has stated that Canadian authorities will review the deal.

Yahoo has said the arrangement with Google wouldn’t stifle competition, while Google has said it could increase it. However, Microsoft claims that it could create a monopoly.

In the latest comScore results, Google has 61.9% of the U.S. search market, Yahoo 20.5% and Microsoft just 8.9%.
The deal has come under scrutiny in the US, too, with hearings in Congress and a review by the Department of Justice.