Additional Details Emerges: Microsoft Guaranteed Yahoo! $2.3 Billion / Year

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Microsoft Corporation (NASDAQ:MSFT) guaranteed Yahoo! Inc. (NASDAQ:YHOO) $2.3 billion in revenue per year for 5 years through the deal that was offered over the weekend.  The deal was also extendable for another 5 years.  The source of this information preferred not to be named, but Reuters broke the story earlier today.

After Microsoft withdrew their $47.5 billion offer for all of Yahoo!, they offered a $9 billion partial deal and revenue guarantees for the search engine company.  However, Microsoft wanted the advertising partnership to remain exclusive for 10 years.  Yahoo! opted out on Saturday night and decided to stick with the partnership they have with Google.  Google guarantees Yahoo! $800 million a year in revenue through their advertising partnership.

Source: Reuters

This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at
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