Is it me or is everyone else stupid?

Ok folks, forget all the flowering up that the two companies involved in this deal are giving out and how every thing will be rosy in both gardens, Yahoo serving Google ads has only one result.. A bad news bears result for everyone. Especially those in the domain channel. Believe me, I know, Ive been there!

This is only going to be short post for Im not going to simply give out the news thats already there.

Yahoo simply syndicating Google ads together with their own advertiser results has led me to understand why they called RSS “really simple syndication” in the first place. It was for this moment alone. For Yahoo to enter into this deal is really simple syndication, ie a syndication deal seemingly made by a bunch of real simpletons..

Durr, what effect do they think this will have? Completely alienate all of Yahoo’s tail search advertisers who were getting value for money previously and send a message to their head advertisers who will now only have to advertise through one outlet in order to achieve the same result – thats what affect this has! What will be the point of advertising through Yahoo if there is no distribution or if your results turn up on page 200?

What are they thinking over there in Sunnyvale…

Ok, they have had a tumultuous time over recent months heading off a MS takeover, but this latest move reeks of desperation. In this humble bloggers opinion, they have just committed commercial suicide and handed world domination to the already big headed, arrogant and impossible Google.

Why?

Well, as i’ve discussed previously in this blog, Google’s modus operandi in this scenario is simple. Hold hands with their so called top level partner for a period of time and then, once their partner’s core advertiser base is all but gone, give them the old strong arm treatment. For Yahoo it will end up as a “do it or else” directive (similar to that which occurred with ASK) and will involve them being made to drop all their publishers, sub-syndicators and parking companies – leading to even more heavy handed treatment by Google. Thats “if”, in fact, Google want to even hand out ANY treatment to these guys at all. Chances are Google wont want them and for the ones they do want they can now begin paying even less revenue share because, for the publishers and sub-syndicators, there will be nowhere else to go!

By the time the Yahoo share price collapses to a level where Jerry Yang is forcibly removed from the building it will be too late and the Yahoo position will be irrecoverable. Display may be the future of online advertising but not for Yahoo if their bread and butter revenue stream is taken away before they obtain any serious traction.

I’m off down the pub now to drink some hard liquor and to contemplate more on what will transpire as a result of this calamity. Tomorrow I will begin working out the numbers now that my ad revenue is sure to go down and my ad costs go up.

I think we just witnessed the beginning of the end of Yahoo folks ..