Citigroup analyst Mark Mahaney has been widely cited for his February analysis showing some strong financial benefits of a deal under which Yahoo would use Google to supply search ads. With that scenario now appearing more likely, he's issued a new report on the subject that projects as much as $1 billion in incremental cash flow for Yahoo in 2008.
But that dramatic figure is based on a complete outsourcing of search ads to Google. So don't expect anything like that number to come of the potential pact, which could be announced this week. A source familiar with … Read more