Yahoo has struck a deal with google to display google adwords ads on in its search engine.
Google will supply "AdSense for search" and "AdSense for content" ads to Yahoo's U.S. and Canadian web properties. This deal is estimated to fetch Yahoo $800 million annual revenue opportunity. Yahoo president "Sue Decker" emphasized that this was largely about "the tail" – showing ads where Yahoo doesn't have inventory. It basically makes Google "backfill" for Yahoo.
Benefits for Consumers, Advertisers and Yahoo Publishers:
Consumers can have access to more relevant ads for their queries.
Advertisers can now hope to gain more traffic and conversions by having their ads on Yahoo network.
Yahoo! Publisher Network publishers are going to be benefitted a lot. They have a precious opportunity to make money by running google ads on their websites.
You have to wait for 3 and a half months time to see the LIVE action while the U.S. Department of Justice time will be reviewing the arrangement between Google and Yahoo.