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AOL Drops Overture, AOL Signs Up with Google, Overture Extends Deal with Yahoo! - Search Engines News and Articles - May 1, 2002

Wednesday, May 01, 2002, 7:40pm
Today was a day of incredible announcements from Google, AOL, Overture, and others in the search engine arena.  Speculation has run rampant for the past month, since LookSmart made their move to pay-per-click, centering primarily on the effect of LookSmart's play on the fate of Overture.  LookSmart is now seen as competing with Overture in the pay-per-click marketplace.  When Overture announced last week that they had extended their deal with AOL only for one week, the SEO world heated up with even more speculation.  Today, AOL announced that they would no longer list Overture results in their search results.  That's big news.  Even bigger news is the announcement that Google and AOL have formed a partnership, enabling AOL users to get the benefit of Google's amazing search engine.  This is yet another incredibly smart move on AOL's part. (Recall that AOL/Time Warner owns Netscape and therefore is resonsible for the Open Directory.  Recall that Google frequently crawls the Open Directory and lists the Open Directory in it's "directory" section.)

In the links below you will see Overture trying to do some damage control by re-announcing that it has a strong relationship with Yahoo!  In the end, today was a serious blow to Overture, and a significant win for AOL and Google.  Overture's agreement with Yahoo! is good news for Overture, but it is a shadow in the blinding light of their loss today.  AOL isn't the number one search engine, but it is a growing organic entity that will not go away.  Their agreement with Google will only strengthen the loyalty of their users.

Here's a question.  How will AOL and Google's deal affect the future of Yahoo! and Google's deal?  Currently, Yahoo! shows Google search results when an exact match for a specific search isn't found in the Yahoo! database.

AOL Inks Deal to Use Google Search Engine
Wed May 1, 9:40 AM ET
NEW YORK (Reuters)

| Google Lands Pact With AOL, Strengthening IPO Prospects
Wed May 1,11:38 PM ET
By: Mylene Mangalindan and Julia Angwin, Staff Reporters Of The Wall Street Journal

| AOL Chooses Google Over Overture
Wed May 1, 5:19 PM ET
By MICHAEL LIEDTKE, AP Business Writer

| Overture bows to Google in AOL deal
By Margaret Kane
Staff Writer, CNET News.com
May 1, 2002, 4:20 PM PT

| TiVo to Offer AOL Services to Customers
Wed May 1, 9:21 AM ET
NEW YORK (Reuters)

| Yahoo launches advice site
By Troy Wolverton
Staff Writer, CNET News.com
April 29, 2002, 6:30 PM PT

| Google Challenges Yahoo as the No. 1 Search Site in the World, According to WebSideStory's StatMarket
Tuesday April 30, 7:03 am Eastern Time
SOURCE: WebSideStory, Inc.

| Overture Raises Forecasts to Incorporate Strong First Quarter Performance and New Long-Term Yahoo! Relationship; U.S. AOL Relationship Ends
April 30, 2002 10:01:00 PM ET
PASADENA, Calif. (BUSINESS WIRE)

Overture Raises Guidance, Ends America Online Pact
Tuesday April 30, 11:17 pm Eastern Time
Reuters Internet Report
PASADENA, Calif. (Reuters)

Yahoo! and Overture Extend Pay-For-Performance Search Agreement; Overture Continues to Power Successful Yahoo! Sponsor Matches Program
Overture Services Inc. (ticker: OVER, exchange: NASDAQ) News Release - 4/25/2002
SUNNYVALE & PASADENA, Calif., Apr 25, 2002 (BUSINESS WIRE)

LookSmart shares slide after quarterly results
April 30, 2002 11:28 AM ET
Reuters.com - Article no longer online.
LookSmart Ltd. (LOOK.O) shares fell more than 23% Tuesday.

Google's Award-Winning Search Engine to Power Search Functions Across America Online's Brands, Providing Consumers Easy Access to the Most Popular Search Engine Available
Google Will Also Provide Its Popular Paid Listings in Search Areas of AOL, AOL.COM, CompuServe and Netscape
DULLES, VA and MOUNTAIN VIEW, CALIF., May 1, 2002
From Google

Google replaces Overture on AOL properties
Wednesday May 1, 4:48 pm Eastern Time
Reuters Company News
(Adds comments from Google and closing stock prices)
By Andrea Orr and Dan Sorid
PALO ALTO/NEW YORK, May 1 (Reuters)

Overture Services Inc., Investor Relations
View the Conference Call WebCast
Date: Wednesday, May 1, 2002
Time: 10:00 AM ET