Looks like Google and Yahoo may have to walk away from their proposed advertising partnership. The Wall Street Journal today reports that “people familiar with the matter” say prospects for the agreement have “dimmed” and are “considering walking away from the deal as early as next week.”
Both companies have had a series of meetings with the Justice Department to address concerns of regulators.
The alliance consists of putting Google technology to work targeting search ads on Yahoo pages. The two companies had delayed the start of the ad deal to at least October 22, to give regulators more time. That date came and went and now it looks like the deal won’t prosper. Microsoft and other advertisers have objected to the proposed deal, claiming it would give Google too much control over online advertising and restrict competition.