Here’s the low down from one of our Google reps. Now we wait and see if it passes muster and the feds:

Thanks for asking about this deal with Yahoo. Yesterday, we announced a
non-exclusive advertising agreement that give Yahoo! the ability to use
Google’s search and contextual advertising technology through its AdSense
for Search and AdSense for Content advertising programs.  Under the
agreement, Yahoo! has the option to display Google ads alongside its own
natural search results in the U.S. and Canada.  In addition, Yahoo! can
serve contextually targeted ads on its U.S. and Canadian web properties as
well as on its current publisher partner sites.

If you’d like to learn more information, please feel free to check out our
official press release at
http://googleblog.blogspot.com/2008/06/our-agreement-to-provide-ad-technology.html.

As for what this means to our advertisers, this deal will not change the
way Google’s ad auctions will run. Google doesn’t set the prices manually
for ads; rather, advertisers themselves determine prices through an
ongoing competitive auction.

Also, advertisers will not be able to target Yahoo searches. Yahoo will
simply be treated as a part of Google’s partner network, and advertisers
will only be able to decide whether their ads should only be served on
Google web properties or also appear on partner websites.

Hot off the Press:

http://seattletimes.nwsource.com/html/businesstechnology/2004473897_webyahoogoogle12.html