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Associated Press - December 4, 2009 6:24 PM ET
SAN FRANCISCO (AP) - Microsoft and Yahoo have signed off on their plan to team up against Google in Internet search.
The step announced Friday seals the terms of a preliminary agreement announced in late July.
Government regulators still must approve the proposed partnership before Microsoft and Yahoo can begin working together.
The two companies believe they will clear that final hurdle early next year. If regulators give their blessing, Microsoft will begin to power Yahoo's search engine.
Microsoft and Yahoo were supposed to sign the final papers in late October, but held off to work out some fine points.
Even if they are allowed to join forces, Microsoft and Yahoo still will be processing half as many search requests as Google does.
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