UK agencies warm to idea of united Microsoft and Yahoo

Jim Brigden, chief executive of The Search Works - Google's biggest UK
client - said his company would certainly welcome competition to Google
on a European basis.

He said: "The proposed Microsoft/Yahoo merger sounds like a compelling
concept, but there's a long way to go and it would certainly be a couple
of years before it would have any impact in Europe."

Andrew Girdwood, head of search at Bigmouthmedia, said a Microsoft/Yahoo
merger would benefit clients.

He said: "Everyone wins if Google has more competition. The hope is that
Microsoft plus Yahoo will equal three and while Google has expressed
concern about the deal it has welcomed competition before.

"It's great news for us. To get Yahoo's level of traffic and Microsoft's
rates of conversion will make more money for our clients."

Tony Samios, chief operating officer at Steak Media, said: "At the
moment it's a three-horse race, but two of the contenders aren't strong
enough to compete. Finally, Google is going to get some
competition."

Microsoft and Yahoo's UK operations were remaining tight-lipped about
the proposed $44.6bn take-over announced on Friday.

However, Google's managing director for UK sales, Mark Howe, agreed with
suggestions that Microsoft could now attempt to exert the same sort of
influence over the internet that it did with the PC.

He told Media Week: "Competition stimulates the market and we welcome
fair and honest competition. Yahoo has had a tough time of it of late
when it comes to search and it's not healthy to have weakened
colleagues."

Microsoft, meanwhile, has ramped up its rhetoric through its corporate
blog. "The combination of Microsoft and Yahoo will create a more
competitive marketplace by establishing a compelling number-two
competitor for internet search and online," the company wrote.