Google and Yahoo! Partner Up

Looks like Google and Yahoo! finally sealed the deal. Here's a breakdown of some of the main aspects of the pact, from ZDNet.com:

• The Yahoo-Google partnership is non-exclusive and Yahoo controls the user experience and where the ads run.
• Yahoo will still use its own Panama marketplace when the monetization is comparable to what Google could provide.
• Google and Yahoo will make their instant messaging services interoperable.
• The agreement has a term of up to ten years: a four-year initial term and two, three-year renewals at Yahoo!’s option.
• Either party can terminate the deal in the event of a change in control. The catch: Yahoo has to pay a termination fee if the agreement is terminated as a result of a change in control that occurs within 24 months. The termination fee is $250 million, subject to reduction by 50 percent of revenues earned by Google under the agreement. That’s basically an anti-Microsoft takeover clause.
• And most importantly, Google will provide $250 million to $450 million in incremental cash flow. After 12 months of implementation, Yahoo expects “an $800 million annual revenue opportunity.”