Yahoo Takeover Target?

Published: July 18, 2007, 8:25 am

http://business.timesonline.co.uk/tol/business/industry_sectors/technology/article2096456.ece Yahoo makes money with their keyword marketplace (Pay per click model that most domainers are familiar with) but they make about 40% of their revenues from good ole' fashion display (banners, rich-media ads) which they bill at a rate card level across their content properties like 'Yahoo Finance' 'Yahoo Music' etc etc. These aren't the $4-5 ecpm domainers are familiar with for run-of-network ads from Casale or Advertising.com .. these are super-premium, targeted and (more importantly) "premium billed" display ads ($20-80 cpm..). So now Yahoo's display ad business is suffering because there is a lot of money being spent on cheap ad networks and social networking sites like MySpace.com. Earnings are out and the continued adjustments surrounding Panama coupled with the display weakness and seasonality are making things at Yahoo look uncertain and their stock price

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