AP Reportedly Close To New Licensing Deal With Yahoo

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Credit: Corbis

Looks like the Associated Press’s licensing negotiations with Yahoo (NSDQ: YHOO) are going much better than those with Google (NSDQ: GOOG). The WSJ reports that Yahoo and the AP are close to reaching a new deal that would “impose higher restrictions and potentially a higher price tag” on AP content that Yahoo uses on its site. Those restrictions could mean that Yahoo might not have equal access to all AP stories; that potentially could fit with the AP’s plans to make more money by giving some clients exclusive short-term access to some content.

A Yahoo spokeswoman doesn’t directly confirm that a deal is close but does tell us that the “AP is one of Yahoo’s most important content partners” and expects its relationship “will continue for years to come.”

That amicability is a contrast to Google, which appears to have reached an impasse in its own negotiations with the AP. Beginning in late December, Google stopped hosting new AP content on Google News, apparently in order to prepare for the end of its licensing agreement with the AP, which expires at the end of the month.

The AP is hoping that higher revenue from its online clients will make up for the lower fees it is charging its broadcast and newspaper members. An AP spokesman would not comment. We’ll update this post if we learn more.

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Guest

Google does NOT need the Associated Press. If anything, it is the other way around. Go ahead Associated Press, puff your chest and feel good about your ‘win’… you just managed to capture a distant 2nd place in the search market that 85% of Americans do not use. Yahoo is in rapid decline and just loves company in its misery.I do not think Google should be in the content business anyway. They offer great tools and services and should stick to what they do best.

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