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Yahoo has signed a deal with US newspaper groups in which they will share online advertising, content and technology.
In return for Yahoo publishing local classified ads on its network of sites, the newspapers will supply local news content. This deal should boost Yahoo’s local reach while providing local papers with national exposure for their classifieds.
Traditional newspapers are living in uncertain times, with the rapid growth of online news media, declining circulations, and advertisers seeing the benefits of more accurate targeting and measurement which the internet provides.
CEO of Post parent MediaNews Dean Singleton believes this kind of deal could be the way forward for print media:
"Many, many people have asked, 'What will newspapers do to navigate into the online future?' This is the biggest answer we've had to date."
A report by Analyst group Outsell recommended that traditional news media will need to negotiate revenue-producing agreements with online media companies to survive.
This deal, and Google’s print media trial for its Adwords system, may lead to further such deals between online and print media.