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April 23, 2008 2:15 PM PDT

Report: Yahoo, Google talk with DOJ on ad test

by Ina Fried
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Yahoo and Google have both spoken to regulators about the joint test underway in which Google is serving up ads for a small number of Yahoo's search queries, Reuters reported on Wednesday.

"We informed the Justice Department before we launched this test and we have been responsive to their questions about it," Google spokesman Adam Kovacevich told Reuters. Yahoo had a similar comment to the wire service.

Yahoo offered little new detail about the test during its quarterly conference call Tuesday, but positioned it as one of several things the company was exploring as part of efforts to improve its near-term revenue picture.

The Google test comes as Yahoo is under increasing pressure to negotiate with Microsoft or find a viable alternative. Microsoft has given Yahoo until Saturday to come to the negotiating table or face the prospect of a proxy battle.

During her years at CNET News, Ina Fried has changed beats several times, changed genders once, and covered both of the Pirates of Silicon Valley. These days, most of her attention is focused on Microsoft. E-mail Ina.
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About Beyond Binary

During her years at CNET News, Ina Fried has changed beats several times, changed genders once, and covered both of the Pirates of Silicon Valley. These days, most of her attention is focused on Microsoft.


Beyond Binary is a look at how technology is changing our lives and the people behind all that life-changing stuff, with an extra emphasis on that which emanates from Redmond, Wash.

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