T-Mobile drops Google for Yahoo

Yahoo oneSearch will become the exclusive mobile search service for T-Mobile customers from April

T-Mobile has entered into a new strategic partnership with Yahoo to introduce a range of mobile services across Europe.

The agreement supplants Google as T-Mobile's mobile search services provider in Europe, and sets the stage for Yahoo oneSearch to become the exclusive mobile search service for T-Mobile customers from April.

Marco Boerries, executive vice president of Connected Life at Yahoo, said: " We are integrated at the operator level, so we understand location, and we can prepare just the right results. It is search designed with the mobile web in mind."

T-Mobile has also expanded its social web services by partnering with popular online communities such as YouTube, MySpace, Flickr and Bebo.

The operator has unveiled plans to launch mobile instant messaging services in partnership with Windows Live Messenger, ICQ, AOL Instant Messenger and Yahoo Messenger.

In order to encourage customers to access these services anywhere and at anytime, T-Mobile has lowered roaming charges for data usage in Europe.

"We are moving away from the web to something new," said Christopher Schläffer, group products and innovation officer at T-Mobile.

"We are going to push the answers to the screen [from a] federation of content sources including the device portal, local search and people and community search.

"With Yahoo, we combine our joint innovation power to bring the mobile internet even closer to our customers. OneSearch is a prime example here."

Analyst firm Ovum is upbeat about the new partnership, especially as Yahoo is going through a tough time following Microsoft's takeover bid.

"Yahoo is doubtless taking some consolation from having cocked such a high-profile snook at Google. And justifiably so," said Ovum analyst John Delaney.

"Combined with its deal to sell advertising space for T-Mobile, today's announcement will be an important boost to Yahoo's position as the operators' friend in the hazardous world of the mobile internet."

The main advantage of this optimisation is that users will be able to access their favourite sites with one click from a personalised homepage of the Web 'n' Walk portal.

"It is important not to overlook the fact that the Yahoo deal marks an important shift in T-Mobile's approach to its mobile internet service," added Delaney.

"T-Mobile's role is becoming notably more interventionist than at the inception of Web 'n' Walk.

"By involving itself more in its users' internet experience, T-Mobile hopes to offer more value and to build its home page into a portal and a piece of advertising inventory.

"But the risk is that T-Mobile will discover that its users really preferred it when T-Mobile gave them access to the web, and then got out of their way."