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Yahoo begins testing Microsoft search solutions

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Almost 12 months after inking a 10-year search and advertising agreement with Microsoft, Yahoo last week began testing how keywords will perform on the software giant's adCenter system, which will soon power premium search services across both companies' digital networks. Mark Morrissey, who runs Yahoo's integration team, tells The Wall Street Journal that the firms are running so-called "shadow tests" focusing on algorithmic search technologies that yield non-paid search results; in the days ahead, Yahoo engineers will gradually increase the volume of Yahoo traffic that passes through Microsoft's Bing search engine, eventually inserting imaginary queries to stress-test the system beyond full capacity. Prior to shifting Yahoo's advertisers to adCenter, Microsoft must also improve the system to handle traffic as great as four times beyond what it currently processes--in addition, Microsoft engineers are integrating features from Yahoo's Panama search advertising system, giving advertisers more control over ad placement. Yahoo and Microsoft say they remain on track to complete the transition by mid-October.

Yahoo sold its search business to Microsoft in August 2009. Per terms of the agreement, Microsoft will power Yahoo search efforts, and Yahoo will take over as the exclusive worldwide relationship sales force for both firms' premium search advertisers. Microsoft and Yahoo promise the partnership will offer users more efficient and relevant search results, while delivering better results for advertisers and publishers. Yahoo said it will shift its focus to mobile services technology, display advertising and content--CEO Carol Bartz said she agreed to sell the search business because Yahoo could no longer continue to match the level of investment Google and Microsoft were making in their respective search efforts. Although Yahoo is free to choose any partner for mobile search, it will expand its relationship with Microsoft to reach wireless subscribers in the U.S., Canada, the U.K. and France.

For more on the Yahoo/Microsoft search tests:
- read this Wall Street Journal article

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