Yahoo and eBay Team Up to Fight Google

Yahoo and auction site eBay have announced a deal that will have both sites making use of text-based advertising, going head-to-head with Google. The new partnership will also include PayPal, an eBay company, to offer Yahoo users a way to make payment for other types of media like movies and TV shows.

• Press Release: Yahoo! and eBay Form Strategic Partnership
• Yahoo Tackles Google and MSN: Buys Search-Engine Based Ad
• Google Develops New Program: Targeted Advertising Launched

Yahoo and eBay won't trade money to get the new alliance underway. Instead, the Web sites will split revenues from advertising and PayPal fees.