Yahoo's Sale Of Overture Japan Questioned

The sale by Yahoo! of Overture Japan to Yahoo Japan - a separate entity owned largely by Soft Bank (41%) and Yahoo (34%) - has been questioned by Eric Jackson at Seeking Alpha. The price of $13 million seems low and the decision to sell the PPC engine of the largest search engine in Japan seems interesting.

Yahoo Japan is the most popular engine in Japan with a 65% market share, according to Forbes magazine.

I have a hard time figuring out how things are priced.... remember the $1.65 billion for YouTube and it is not making the same kind of money PPC in Japan must be.

About the author

Frank Watson has been involved with the Web since it started. For the past five years, he headed SEM for FXCM -- at one time one of the top 25 spenders with AdWords. He has worked with most of the major analytics companies and pioneered the ability to tie online marketing with offline conversion.

He has now started his own marketing agency, Kangamurra Media. This new venture will keep him busy when he is not editing the Search Engine Watch forums, blogging at a number of authoritative sites, and developing some interesting online community sites.

He was one of the first 100 AdWords Professionals, a Yahoo and Overture Ambassador, and a member or mod of many of the industry forums. He is also on the Click Quality Council and has worked hard to diminish click fraud.