Yahoo Japan Taps Google Search Engine

Tokyo, Japan (AHN) – Yahoo Japan Corp. announced Tuesday it will be using Google Inc.’s search engine in a tie up that will see it remain as Japan’s no. 1 Web portal while causing the U.S. company to at last dominate the world’s third-largest search market.

In return for using the Google search engine, Yahoo Japan will provide its auction and shopping sites data to the U.S. firm.

Dropping Yahoo Inc.’s search engine technology in favor of Google Inc.’s meant that the latter will take over Yahoo Japan’s 57 percent share of the Japanese Web search market. Google currently runs second to Yahoo Japan in the world’s third-largest search market with a 38 percent share.

Yahoo Inc. owns one-third of Yahoo Japan with cell phone and Internet service provider Softbank Corp. owning a 40 percent controlling stake.

Yahoo Japan uses Yahoo Inc.’s Internet search technology. However, the latter could no longer support the technology after forging an alliance with Microsoft Corp. last year. Under the alliance, Yahoo Inc. had to use Microsoft’s Bing search engine.

Yahoo Japan Chief Executive Masahiro Inoue explained that choosing Google in favor of Bing was the better choice. Kyodo News quoted him as assuring that the move will not change the company’s relationship with Yahoo Inc.

Yahoo Japan’s switch to Google search engine will take effect by year’s end.

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