AP Technology NewsBrief at 12:52 p.m. EDT
(Associated Press Via Acquire Media NewsEdge) Yahoo comes full circle with retreat from searchSAN FRANCISCO (AP) _ Yahoo Inc. invested billions of dollars in its Internet search engine during the past six years before realizing it made more sense to entrust the job to an outsider _ hearkening back to a conclusion the company's co-founders reached shortly after they started their Web directory in the mid-1990s. The latest shift in direction will put rival Microsoft Corp. in control of the search results and the ads that appear alongside search results on Yahoo's highly trafficked Web site, assuming the proposed partnership is approved by antitrust regulators in the United States and Europe.
Microsoft CEO tries to sell analysts on Yahoo dealREDMOND, Wash. (AP) _ Microsoft Corp. CEO Steve Ballmer is trying to improve Yahoo Inc. investors' opinions of the companies' search-advertising partnership. Yahoo's shares fell 12 percent Wednesday and continued dropping Thursday. Ballmer told a meeting of financial analysts that he doesn't understand why, saying, "Nobody gets it." Mass. student on trial admits sharing tunes onlineBOSTON (AP) _ A Boston University graduate student accused of illegally swapping music online admitted in court Thursday that he has downloaded and shared hundreds of songs by Nirvana, Green Day, The Smashing Pumpkins and other artists. Joel Tenenbaum, 25, of Providence, R.I., was called to the stand by recording industry lawyers who accuse him of copyright infringement. A lawyer for four major recording labels questioned Tenenbaum about songs he downloaded using the Kazaa file-sharing network. He likely will take the stand in his own defense later Thursday.
Microsoft and Yahoo challenge Google: Bing it onSAN FRANCISCO (AP) _ Microsoft finally persuaded Yahoo to surrender control of the Internet's second most popular search engine and join it in a daunting battle _ taking on the overwhelming dominance of Google in the online advertising market. A 10-year deal announced Wednesday gives Microsoft its best shot yet to show its new search technology, Bing, is as good as or better than Google's. Microsoft also hopes to use Yahoo to divert sales from Google, which generates more than $20 billion a year from ads.
Review: Yahoo's shift to Bing could be risky betNEW YORK (AP) _ Is Microsoft's Bing really a better search engine? Since it debuted last month, it has earned praise for the smart way it presents results and how it lets users preview Web sites without clicking through to them. Yet a closer look at its results reveals why loyal Yahoo users may not end up happy with the deal the company announced Wednesday, which calls for Bing to replace Yahoo Search.
Motorola posts unexpected 2Q profitNEW YORK (AP) _ Helped by deep cost cuts, Motorola Inc. on Thursday posted an unexpected profit for the second quarter after several quarters of losses, and said it expected things to keep improving this year. While sales continued to decline from last year, Motorola said the cost cuts, including 8,000 layoffs so far this year, set the stage for a comeback from its long-suffering cell phone unit. Its shares surged on news of the outlook.
Microsoft-Yahoo deal to face tough antitrust probeWASHINGTON (AP) _ The Internet search partnership between Microsoft and Yahoo faces a tough antitrust review in the U.S. and overseas, with approval likely hinging on whether the marriage would foster more competition with market leader Google. The deal, announced Wednesday, may have a better shot at success than the proposed pact last year between Yahoo Inc. and Google Inc. That agreement fell apart after the Justice Department threatened to block it, ultimately leading Yahoo to revive talks with Microsoft Corp.
Dutch court rules Pirate Bay must quit NetherlandsAMSTERDAM (AP) _ A Dutch court ruled Thursday that three men connected with Web site The Pirate Bay must block traffic between the site and the Netherlands within 10 days. The written ruling concludes that the men have control over the site and ordered them "each separately and together, to stop and keep stopped the infringements on copyright and related rights of Stichting Brein in the Netherlands" or face a charge of €30,000 ($42,000) per day.
Review: New Android phone better, far from perfectSAN FRANCISCO (AP) _ Less than a year after T-Mobile and HTC released the first smart phone using Google's Android operating system, the wireless operator and the handset maker are back with a sleeker device that takes advantage of recent software updates. The myTouch 3G has plenty of hardware and software kinks _ and a $200 price tag that's $50 higher than the predecessor, the G1, both with a two-year contract. But advances to the operating system may draw a smattering of cheers.
Time Warner beats 2Q estimates; outlook steadyLOS ANGELES (AP) _ Time Warner Inc.'s second-quarter earnings beat Wall Street forecasts Wednesday despite a declining advertising market, as its Turner cable networks held up better than expected and "The Hangover" became a sleeper box office hit.
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